COMMITMENT FOR TITLE INSURANCE

SCHEDULE A

File Number: 08-160

1.Effective Date: June 19, 2008 at 8:00 O’Clock A.M.

2.Policy or policies to be issued:

a. ALTA Owner's Policy (06-17-06)Amount: $0.00

Standard Coverage Extended Coverage

Proposed Insured:

TO BE DETERMINED

b. ALTA Loan Policy (06-17-06)Amount:

Standard Coverage Extended Coverage

Proposed Insured:

c. Amount:

Proposed Insured:

3.The estate or interest in the land described or referred to in this commitment and covered herein is:

FEE SIMPLE

4.Title to the FEE SIMPLE estate or interest in said land is at effective date hereof vested in:

PARCEL # 1: RICHARD E. MILLAGE, JANICE MILLAGE, AND KIMBERLY MILLAGE, as tenants

in common.

PARCEL #2: RICHARD E. MILLAGE AND JANICE MILLAGE, as joint tenants with right of

survivorship and not as tenants in common.

PARCEL # 3: RICHARD E. MILLAGE

PARCEL # 4: RICHARD E. MILLAGE, - 1/2 INTEREST

RICHARD E. MILLAGE, JANICE MILLAGE, AND KIMBERLY MILLAGE, as tenants

in common, 1/2 interest.

5.The land referred to in this Commitment is described as follows:

This Commitment is valid only if Schedule B is attached. / Page 1 of 6
/ Schedule A
ALTA Commitment

PARCEL # 1: TOWNSHIP 1 NORTH, RANGE 21, EAST OF THE BLACK HILLS MERIDIAN,

HAAKON COUNTY, SOUTH DAKOTA

Section 3: Lots 1, 2, S1/2NE1/4, Lots 3, 4, S1/2NW1/4, S1/2;

TOWNSHIP 2 NORTH, RANGE 21, EAST OF THE BLACK HILLS MERIDIAN,

HAAKON COUNTY, SOUTH DAKOTA

Section 15: S1/2;

Section 22: All

Section 27: N1/2, and SE1/4;

PARCEL #2: TOWNSHIP 1 NORTH, RANGE 21, EAST OF THE BLACK HILLS MERIDIAN,

HAAKON COUNTY, SOUTH DAKOTA

Section 10: N1/2, SE1/4 North of US Highway # 14 as shown in Plat Book R,

Page 72.

Section 11: NW1/4, SW1/4 North of US Highway # 14 as shown in Plat Book R,

Page 73; and SE1/4 North of US Highway # 14 as shown in Plat Book

R, Page 72;

PARCEL # 3: TOWNSHIP 1 NORTH, RANGE 21, EAST OF THE BLACK HILLS MERIDIAN,

HAAKON COUNTY, SOUTH DAKOTA

Section 23: E1/2NE1/4, SE1/4;

Section 24: W1/2, SE1/4;

Section 26: N1/2;

Section 27: NE1/4;

PARCEL # 4: TOWNSHIP 2 NORTH, RANGE 21, EAST OF THE BLACK HILLS MERIDIAN,

HAAKON COUNTY, SOUTH DAKOTA.

Section 34: SE1/4;

This Commitment is valid only if Schedule B is attached. / Page 1 of 6
/ Schedule A
ALTA Commitment

COMMITMENT FOR TITLE INSURANCE

SCHEDULE B

File Number: 08-160

Schedule B of the policy or policies to be issued will contain exceptions to the following matters unless the same are disposed of to the satisfaction of the Company.

A.Defects, liens, encumbrance, adverse claims or other matters, if any, created, first appearing in the public records, or attaching subsequent to the effective date hereof but prior to the date the proposed Insured acquires for value of record the estate or interest or mortgage thereon covered by this Commitment.

B.General Exceptions:

1.Rights or claims of parties in possession not shown by the public records.*

2.Encroachments, overlaps, boundary line disputes, and any other matters which would be disclosed by an accurate survey or inspection of the premises including, but not limited to, insufficient or impaired access or matters contradictory to any survey plat shown by the public records.*

3.Easements, or claims of easements, not shown by the public records.*

4.Any lien, or right to a lien, for services, labor, or material heretofore or hereafter furnished, imposed by law and not shown by the public records.*

5.(a)Unpatented mining claims: (b) reservations or exceptions in patents or in Acts authorizing the issuance thereof; (c) water rights, claims or title to water, whether or not the matters excepted under (a), (b), or (c) are shown by the public records.*

6. Taxes or special assessments which are not shown as existing liens by the records of any taxing authority that levies taxes or assessments on real property or by the public records. Proceedings by a public agency which may result in taxes or assessments, or notices of such proceedings, whether or not shown by the records of such agency or by the public records.*

7.Any Service, installation or connection charge for sewer, water or electricity.*

8. Any right, title, or interest in any minerals, mineral rights, or related matters, including but not limited to oil, gas, coal, and other hydrocarbons.*

*Paragraphs 1, 2, 3, 4, 5, 6, 7 and 8 will not appear as printed exceptions on extended coverage policies, except as to such parts thereof which may be typed as a Special Exception.

C. Special Exceptions:

This Commitment is valid only if Schedule A is attached. / Page 1 of 6
/ Schedule B
ALTA Commitment

1. Real Estate Taxes for the year 2008 and subsequent years which constitute a lien but are not due or payable.

Real Estate Taxes for the year 2007 payable in 2008 in the original amounts as follows:

T1N-R21: Sec. 3: Lots 1, 2, S1/2NE1/4 $209.32, paid in full

Lots 3, 4, S1/2NW1/4 $175.32 paid in full

SW1/4 $271.46, Paid in full.

SE1/4 $177.86, Paid in full.

Sec. 10: NE1/4 = $237.02 paid in full

NW1/4 = $153.34 paid in full

SE1/4 ex hwy = $245.42, paid in full.

Sec. 11: NW1/4 = $201.50 paid in full

SW1/4 ex hwy = $290.56 paid in full

SE1/4 ex hwy = $1,048.16 paid in full

Sec. 23: E1/2NE1/4 ex ry = $168.18 paid in full

SE1/4 = $236.50 paid in full.

Sec. 24: NW1/4 = $367.84 paid in full.

SW1/4 = $214.22 paid in full.

SE1/4 = $198.10 paid in full.

Sec. 26: NE1/4 = $249.48 paid in full.

NW1/4 = $209.06 paid in full.

Sec. 27: NE1/4 = $309.42 paid in full.

T2N-R21 Sec. 15: SW1/4 = $331.06 paid in full.

SE1/4 = $313.24 paid in full.

Sec. 22: NE1/4 = $362.42 paid in full.

NW1/4 = $248.26 paid in full.

SW1/4 = $197.48 paid in full.

SE1/4 = $203.16 paid in full.

Sec. 27: NE1/4 = $176.48 paid in full.

NW1/4 = $355.08 paid in full.

SE1/4 = $233.10 paid in full.

Sec. 34: SE1/4 = $270.16 paid in full.

Total amount of $7,652.98 paid in full.

  1. RIGHT OF WAY EASEMENT. Dated ( no date shown). Executed by Richard E. Millage and Janice Millage, to West Central Electric Cooperative, Inc. Grants an easement and right of way for the construction and maintenance of an electrical transmission and distribution line across SE1/4 Sec. 11-1N-21. Filed May 21, 1999, 10:45 A.M. as Document No. 99-243 on Microfilm, HaakonCounty Records.
  1. DEED. Dated May 4, 1906, Grants to Pierre Rapid City & Northwestern Railway Company an easement in and right of way over and across NE1/4NE1/4 Sec. 23-1N-21, as follows: a right to go upon, excavate, contract and maintain an overflow Channel ten feet deep, thirty feet wide at the bottom and fifty feet wide on top or of such dimensions as said company deems expedient and also the right to waste material on a strip of land 100 feet wide along adjoining and on the South side of said Channel. Said channel and waste strips to be over and across a parcel of land in the SW corner of said tract of land described as follows: Commencing at said SW corner of said above described tract of land and running North along the west line of said tract 550 feet thence east 250 feet thence south and parallel to said west line to the south line of said tract, thence west along the south line 250 feet to the place of beginning. Filed May 16, 1906, 11:00 A.M. in Book R of Deeds, Page 180, StanleyCounty Records, Transcribed in Book 14, Page 227, HaakonCounty Records.
  1. Reservation contained in Warranty Deed Dated March 6, 1975, wherein Alta Rosling reserves her one-third interest in existing oil and mineral rights in and under Parcel # 3 of this commitment.Filed April 10, 1975, 8:30 A.M. in Book 138, Page 202, Haakon County Records.
  1. Reservation contained in Warranty Deed wherein Vera L. Robertson reserves a 1/6 interest in existing oil and mineral rights, and a one-half interest of any gravel mining rights unto herself, her heirs or assigns. Affects Parcel # 3 of this commitment. Filed March 30, 1976, 9:00 A.M. in Book 138, Page 278, HaakonCounty Records.
  1. Reservation contained in Warranty Deed Dated December 23, 1943, wherein the State of South Dakota reserves as follows: Subject to reservation of rights of way for irrigation ditches, canals, etc., as provided by SDC 61.0147 and subject to reservations and rights relating to deposits of coal, ores, metals, and other minerals, asphaltum, oil, gas, and other like substances, as provided by SDC 15.0501 and SDC 55.0203. Filed January 11, 1944, 3:35 P.M. in Book 83, Page 525, HaakonCounty Records. Affects: SE1/4NE1/4 Sec. 23-1N-21.
  1. Mineral interests as determined in DECREE QUIETING TITLE. Dated October 2, 1952, Filed October 3, 1952, 11:00 A.M. in Book 114, Page 81, Haakon County Records, wherein it was determined that Carrie M. Scharf, is the owner of an undivided 3/9 interest in oil, gas and other minerals; Edith E. Vanderzyl, is the owner of an undivided 3/9 interest in oil, gas and other minerals; Florence Irwin, is the owner of an undivided 1/9 interest in oil, gas and other minerals; Mrs. A.W.Asthalter, is the owner of an undivided 1/9 interest in oil, gas and other minerals; W.T.Irwin, is the owner of an undivided 1/9 interest in oil, gas and other minerals. Affecting: NE1/4 Sec. 27-1N-21.
  1. Reservation contained in Warranty Deed Dated May 8, 1944, wherein the State of South Dakota reserves as follows: Subject to reservation of rights of way for irrigation ditches, canals, etc., as provided by SDC 61.0147 and subject to reservations and rights relating to deposits of coal, ores, metals, and other minerals, asphaltum, oil, gas, and other like substances, as provided by SDC 15.0501 and SDC 55.0203. Filed June 6, 1944, 9:30 A.M. in Book 83, Page 580, HaakonCounty Records. Affects: NE1/4NE1/4 Sec. 22-2N-21.

NOTE: THIS POLICY DOES NOT ADDRESS CURRENT OWNERSHIP OF THE SEVERED MINERAL TITLE, IF ANY.

  1. CONTRACT AND GRANT OF EASEMENT. Dated June 21, 1951, Earl R. Millage and Grace Millage, his wife, grants to the United States of America, an easement to construct, operate and maintain an electric transmission line, across S1/2SE1/4 Sec. 34-2N-21, the center line of the route of said poles and wires shall be as follows: beginning at a point on the West line of the S1/2SE1/4 Sec. 34-2N-21 183.9 feet Northerly of the SW corner of said S1/2SE1/4; thence S. 86 degrees 43 minutes East., 2,149.2 feet, thence South 89 degrees 54 minutes East, 480.8 feet, to a point on the East line of said S1/2SE1/4, 76.0 feet Northerly of the SE corner of said S1/2SE1/4. Said easement shall be 37.5 feet either side of the centerline as constructed. Filed September 1, 1951, 8:30 A.M. in Book 108, Page 425, HaakonCounty Records.
  1. RIGHT OF WAY AGREEMENT. Dated June 7 2007, executed by Richard E. Millage, Janice Millage and Kimberly Millage, to West River/Lyman-Jones Rural Water Systems, Inc. Grants an easement to construct, operate and maintain a potable water transmission or distribution pipeline, 25 feet on each side of pipeline as constructed across Lots 1, 2, 3, 4, S1/2N1/2Sec. 3-1N-21; and SE1/4 Sec. 34-2N-18. Filed June 11, 2007, 9:15 A.M. as Document No. 07-230 on Microfilm, HaakonCounty Records.
  1. Patent reservations for vested and accrued water rights and the right of a proprietor of a vein or lode to remove his ore, and a right of way for ditches and canals constructed by authority of the United States.
  1. Statutory section line right of way 33 feet either side of all section lines pursuant to SDCL Chapter 31-18.
  1. Access to portions of this property is limited to Statutory section line right of way and does not appear to have access by Public roads, therefore we cannot guarantee access to all parcels of this property under this policy.
  1. Oil, Gas and mineral leases executed by present and former owners.
  1. This commitment does not include a search for financing statements filed in the office of the Secretary of state or in any County other than HaakonCounty, wherein the premises are situated.
  1. AS TO PARCEL # 4 OF THIS COMMITMENT. Title was acquired by Earl R. Millage and Grace Millage, by Quit Claim Deed Dated January 16, 1948, which gave Earl a ½ interest and Grace a ½ interest in the property. The Final Decree of Distribution in the Matter of the Estate of Grace A. Millage Deceased, Filed August 19, 1982, 2:30 P.M. as Document No. 82-006 on Microfilm, failed to include her ½ interest in the SE1/4 Sec. 34-2N-21( PARCEL #4), in effect leaving it in Grace Millage’s name.After review of the Last Will and Testament of Grace A. Millage, it is determined that Richard E. Millage should have inherited this ½ interest.

The Company will require an Affidavit with a copy of the Will Attached in order to establish title to

that one-half interest in Richard E. Millage, all pursuant to South Dakota Title Standard 15-19.

  1. Any circumstance which may arise during the gap period between the time of closing and the recording of the insured instrument. Defects, liens, encumbrances, adverse claims or other matters, if any, created, first appearing in the public records or attaching subsequent to the effective date hereof but prior to the date the proposed insured acquires for value of record the estate or interest or mortgage thereon covered by this Commitment/Policy.
  1. The real estate described in this Commitment/Policy shall not be deemed to include and no search has been made in regard to any house trailer, mobile home or manufactured home standing on the premises. Subsequently, we are not liable for and shall be held harmless against any liens, judgments and/or taxes, current or delinquent, that would apply to the same.
  1. This commitment is subject to being provided with a bonafide purchaser, and is subject to such matters as may be of record at that time.
  1. We find no personal property taxes, liens or judgments on record in the office of the CountyTreasurer, Register of Deeds or Clerk of Courts of Haakon County, South Dakota against:

Grace Millage

Richard E. Millage

Janice Millage

Kimberly Millage

Which would be liens upon the above described property.

This Commitment is valid only if Schedule A is attached. / Page 1 of 6
/ Schedule B
ALTA Commitment