Fourth Amendment to Credit Agreement

This Fourth Amendment to Credit Agreement is dated as of September 18, 2009 (this “Amendment” ), among AMCOL International Corporation (the “Company” ), the Borrowing Subsidiaries, the guarantors party hereto, the financial institutions listed on the signature pages hereof as Lenders, and Harris N.A. ( “Harris” ), as administrative agent (in such capacity, the “Administrative Agent” ).

A.The Company, the Borrowing Subsidiaries, the guarantors party thereto (the “Guarantors” ), the financial institutions party thereto as Lenders, and the Administrative Agent have heretofore entered into that certain Credit Agreement, dated as of November 10, 2005 (as amended, the “Credit Agreement” ); and

B.The Company has asked the Lenders and the Administrative Agent to amend certain covenants and make certain other modifications to the Credit Agreement and the Lenders and the Administrative Agent are willing to do so on the terms and conditions set forth in this Amendment.

Now, Therefore, in consideration of the premises set forth above, the terms and conditions contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

Section 1.1.      Use of Defined Terms .  Unless otherwise defined or the context otherwise requires, terms for which meanings are provided in the Credit Agreement shall have such meanings when used in this Amendment.

Section 2.1.       Section 5.1 of the Credit Agreement is hereby amended by inserting in proper alphabetical order the following new defined term:

“Senior Leverage Ratio” means, as of the last day of any fiscal quarter of the Company, the ratio of Total Senior Funded Debt minus, to the extent included in the calculation of Total Senior Funded Debt, contingent obligations in respect of performance letters of credit of the Company and its Subsidiaries as of the last day of such fiscal quarter to EBITDA of the Company and its Subsidiaries for the period of four fiscal quarters then ended.

Section 2.2       The defined term “Contingent Obligations” contained in Section 5.1 of the Credit Agreement is hereby amended by deleting the last sentence thereof and inserting in its place the following:

For the purposes of all computations made under this Agreement, a guaranty in respect of any Indebtedness shall be deemed to be Indebtedness equal to the principal amount of such Indebtedness which has been guaranteed, and a guaranty in respect of any other obligation or liability or any dividend shall be deemed to be an obligation or liability equal to the maximum aggregate amount of such obligation, liability or dividend.

Section 2.3.       Section 8.21(a) of the Credit Agreement is hereby amended in its entirety and as so amended shall read as follows:

 (a)  Senor Leverage Ratio.   As of the last day of each fiscal quarter of the Company, the Company shall not permit the Senior Leverage Ratio to be greater than 3.0 to 1.0.

Section 2.4.       Section 8.22 of the Credit Agreement is hereby amended in its entirety and as so amended shall read as follows:

Section 8.22.Contingent Obligations. The Company will not and will not permit any Subsidiary to become or be liable in respect of any Contingent Obligation except (i) the Guaranties hereunder, (ii) Contingent Obligations of the Guarantors with respect to the Funded Debt permitted by Section 8.7(d) hereof, (iii) Contingent Obligations of the Company or any Domestic Subsidiary with respect to the obligations of the Company or any Domestic Subsidiary, (iv) Contingent Obligations of a Foreign Subsidiary with respect to the obligations of any other Foreign Subsidiary, and (v) Contingent Obligations of the Company which are limited in amount to a stated maximum dollar exposure in the aggregate not greater than an amount equal to 5% of the total assets of the Company and its Subsidiaries as shown on the Company’s most recent financial statements delivered pursuant to Section 8.5 hereof and included in Current Debt or Consolidated Funded Debt.

Section 2.5.       Schedule I to Exhibit F of the Credit Agreement is hereby amended in its entirety and as so amended shall read as set forth as Addendum I to this Amendment.

Section 3.1.      Credit Agreement Representations.   In order to induce the Lenders and the Administrative Agent to enter into this Amendment, each Borrower hereby reaffirms, as of the date hereof, its representations and warranties contained in Section 6 of the Credit Agreement and additionally represents and warrants to the Administrative Agent and each Lender as set forth in this Article III.

Section 3.2.      Due Authorization, Non-