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UNITED STATES SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549
 FORM 10-QSB
 þ
    
    Quarterly report under Section 13 or 15(d) of the Securities
Exchange Act of 1934.
 For the fiscal quarter ended December 31, 2006
 OR
 o
    
    Transition report under Section 13 or 15(d) of the Exchange Act.
 For the transition period from            to          .
 COMMISSION FILE NUMBER 000-52420
 SIOUXLAND ETHANOL, LLC
  Nebraska
    
    22-3902184(State or other jurisdiction of
    
    (I.R.S. Employer Identification No.)incorporation or organization)
 1501 Knox Boulevard
Jackson, NE 58743
 (402) 632-2676
 þ o
 o þ
  o þ




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INDEX
 Page No.PART I. FINANCIAL INFORMATION
    
    
    1Item 1. Financial Statements.
    
    
    1Item 2. Managements Discussion and Analysis and Plan of Operations
    
    
    13Item 3. Controls and Procedures
    
    
    16PART II. OTHER INFORMATION
    
    
    17Item 1. Legal Proceedings
    
    
    17Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
    
    
    17Item 3. Defaults Upon Senior Securities
    
    
    17Item 4. Submission of Matters to a Vote of Security Holders
    
    
    17Item 5. Other Information
    
    
    17Item 6. Exhibits
    
    
    17SIGNATURES
    
    
    18Amendment to Credit Agreement$3,500,000 Revolving Term NoteSecurity Agreement and Assignment of Hedging AccountRailroad Service and Construction AgreementRailroad Car Lease AgreementBinding Letter of IntentCertificationCertificationSection 1350 CertificationSection 1350 Certification
  Information Regarding Forward Looking Statements
  
    
    Changes in our business strategy, capital improvements or development plans;
    
    Construction delays and technical difficulties in constructing the plant;
    
    Changes in the environmental regulations that apply to our plant site and operations;
    
    Changes in general economic conditions or the occurrence of certain events causing
an economic impact in the agriculture, oil or automobile industries;
    
    Changes in the availability and price of natural gas and corn
    
    Changes in the markets for ethanol and distillers grains, including the effects of
possible overproduction of ethanol or distillers grain;
    
    Changes in federal and/or state laws (including the elimination of any federal
and/or state ethanol tax incentives);
    
    Changes and advances in ethanol production technology;
    
    Competition from alternative fuel additives; and
    
    Changes in interest rates on our variable rate borrowings.




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PART I. FINANCIAL INFORMATION
 
 Item 1. Financial Statements.
 SIOUXLAND ETHANOL, LLC
  December 31,2006(Unaudited)ASSETSCurrent AssetsCash and equivalents
    
    $
    1,318,493Restricted cash
    
    
    576,573Derivative instruments
    
    
    427,137Other receivables
    
    
    3,370Prepaid and other
    
    
    28,003Total current assets
    
    
    2,353,576Property and EquipmentLand
    
    
    752,302Office equipment
    
    
    47,190Construction in progress
    
    
    64,282,69165,082,183Less accumulated depreciation
    
    
    (4,975
    )Net property and equipment
    
    
    65,077,208Other AssetsRestricted cash
    
    
    406,100Expansion deposit
    
    
    500,000Debt issuance costs, net of amortization
    
    
    566,5451,472,645Total Assets
    
    $
    68,903,429LIABILITIES AND EQUITYCurrent LiabilitiesRevolving term note
    
    $
    394,188Current maturities of long-term debt
    
    
    1,075,625Accounts payable
    
    
    292,545Accrued expenses
    
    
    15,566Construction payable
    
    
    6,823,047Total current liabilities
    
    
    8,600,971Long-Term Debt, less current maturities
    
    
    23,929,375Commitments and ContingenciesMembers EquityMember contributions, net of cost of raising capital, 3,789
units outstanding
    
    
    36,491,418Deficit accumulated during development stage
    
    
    (118,335
    )Total members equity
    
    
    36,373,083Total Liabilities and Members Equity
    
    $
    68,903,429
  2




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SIOUXLAND ETHANOL, LLC
  Three Months Ended
    
    
    Three Months Ended
    
    
    From InceptionDecember 31,
    
    
    December 31,
    
    
    (August 12, 2004) to2006
    
    
    2005
    
    
    December 31, 2006(Unaudited)
    
    
    (Unaudited)
    
    
    (Unaudited)Revenues
    
    $
    
    
    
    $
    
    
    
    $
    Operating ExpensesProfessional fees
    
    
    71,948
    
    
    
    106,777
    
    
    
    805,306General and administrative
    
    
    134,732
    
    
    
    75,948
    
    
    
    503,708Total operating expenses
    
    
    206,680
    
    
    
    182,725
    
    
    
    1,309,014Operating Loss
    
    
    (206,680
    )
    
    
    (182,725
    )
    
    
    (1,309,014
    )Other Income (Expense)Interest income
    
    
    18,909
    
    
    
    192,342
    
    
    
    907,545Other income
    
    
    
    
    
    
    975
    
    
    
    3,582Gain on derivative instruments
    
    
    283,075
    
    
    
    
    
    
    
    283,075Interest expense
    
    
    
    
    
    
    (3,523
    )
    
    
    (3,523
    )Total other income, net
    
    
    301,984
    
    
    
    189,794
    
    
    
    1,190,679Net Income (Loss)
    
    $
    95,304
    
    
    $
    7,069
    
    
    $
    (118,335
    )Weighted Average Units Outstanding
    
    
    3,789
    
    
    
    2,496
    
    
    
    1,919Net Income (Loss) Per Unit
    
    $
    25.15
    
    
    $
    2.83
    
    
    $
    (61.66
    )
  3




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SIOUXLAND ETHANOL, LLC
  Three Months Ended
    
    
    Three Months Ended
    
    
    From InceptionDecember 31,
    
    
    December 31,
    
    
    (August 12, 2004) to2006
    
    
    2005
    
    
    December 31, 2006(Unaudited)
    
    
    (Unaudited)
    
    
    (Unaudited)Cash Flows from Operating ActivitiesNet income (loss)
    
    $
    95,304
    
    
    $
    7,069
    
    
    $
    (118,335
    )Adjustments to reconcile net income (loss) to net cash from operations:Depreciation and amortization
    
    
    11,890
    
    
    
    557
    
    
    
    14,755Equity units
exchanged for services
    
    
    
    
    
    
    
    
    
    
    60,000Change in assets and liabilitiesRestricted cash
    
    
    (144,925
    )
    
    
    
    
    
    
    (982,673
    )Derivative instruments
    
    
    (427,137
    )
    
    
    
    
    
    
    (427,137
    )Other receivable
    
    
    2,067
    
    
    
    
    
    
    
    (3,370
    )Prepaid and other
    
    
    13,165
    
    
    
    18,804
    
    
    
    (23,503
    )Accounts payable
    
    
    149,712
    
    
    
    53,887
    
    
    
    292,545Accrued expenses
    
    
    6,485
    
    
    
    1,152
    
    
    
    15,566Net cash provided by (used in) operating activities
    
    
    (293,439
    )
    
    
    81,469
    
    
    
    (1,172,152
    )Cash Flows from Investing ActivitiesCapital expenditures
    
    
    (18,356,812
    )
    
    
    (1,841,975
    )
    
    
    (58,254,636
    )Payments for expansion deposit
    
    
    (500,000
    )
    
    
    
    
    
    
    (500,000
    )Payment for land options and other
    
    
    
    
    
    
    
    
    
    
    (7,000
    )Net cash used in investing activities
    
    
    (18,856,812
    )
    
    
    (1,841,975
    )
    
    
    (58,761,636
    )Cash Flows from Financing ActivitiesProceeds from revolving term note
    
    
    394,188
    
    
    
    
    
    
    
    394,188Proceeds from bridge financing loan
    
    
    
    
    
    
    760,000
    
    
    
    760,000Payments on bridge financing loan
    
    
    
    
    
    
    (760,000
    )
    
    
    (760,000
    )Proceeds from long-term debt
    
    
    15,975,000
    
    
    
    
    
    
    
    20,975,000Payments for financing costs and other
    
    
    (60,697
    )
    
    
    (52,093
    )
    
    
    (423,183
    )Proceeds from TIF financing
    
    
    
    
    
    
    
    
    
    
    3,874,858Member contributions
    
    
    
    
    
    
    35,880,000
    
    
    
    36,855,000Payments for deferred offering costs
    
    
    
    
    
    
    (36,449
    )
    
    
    (423,582
    )Net cash provided by financing activities
    
    
    16,308,491
    
    
    
    35,791,458
    
    
    
    61,252,281Net Increase(Decrease) in Cash and Equivalents
    
    
    (2,841,760
    )
    
    
    34,030,952
    
    
    
    1,318,493Cash and Equivalents  Beginning of Period
    
    
    4,160,253
    
    
    
    213,598
    
    
    
    Cash and Equivalents  End of Period
    
    $
    1,318,493
    
    
    $
    34,244,550
    
    
    $
    1,318,493Supplemental Cash Flow InformationCash paid during the period for:Interest
    
    $
    323,007
    
    
    $
    3,523
    
    
    $
    326,530Supplemental Disclosure of Noncash Investing and Financing ActivitiesConstruction in progress in construction payable
    
    $
    6,823,047
    
    
    $
    90,515
    
    
    $
    6,823,047Land options exercised for land purchased
    
    $
    
    
    
    $
    4,500
    
    
    $
    4,500Debt issuance costs financed with TIF financing
    
    $
    
    
    
    $
    
    
    
    $
    155,142Deferred offering costs offset against member contributions
    
    $
    
    
    
    $
    423,582
    
    
    $
    423,582Equity units exchanged for services
    
    $
    
    
    
    $
    
    
    
    $
    60,000
  4




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SIOUXLAND ETHANOL, LLC
   1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
   Nature of Business
  Fiscal Reporting Period
  Accounting Estimates
  Cash and Equivalents
   Restricted Cash
  5




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SIOUXLAND ETHANOL, LLC
   Derivative Instruments
 Accounting for Derivative Instruments and Hedging Activities
  Property and Equipment
  Deferred Issuance Costs
  Grants
  6




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SIOUXLAND ETHANOL, LLC
   Fair Value of Financial Instruments
   Recently Issued Accounting Pronouncements
  2. DEVELOPMENT STAGE ENTERPRISE
     3. MEMBERS EQUITY
  4. DERIVATIVE INSTRUMENTS
  7




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SIOUXLAND ETHANOL, LLC
   5. CONSTRUCTION IN PROGRESS
  Construction costs
    
    $
    63,798,235Capitalized interest
    
    
    332,787Insurance and other costs
    
    
    151,669$
    64,282,691
  6. REVOLVING TERM NOTE
  7. LONG-TERM DEBT
  Term note payable to lending institution, see terms below
    
    $
    20,975,000Tax increment financing, see terms below
    
    
    4,030,000Total long-term debt
    
    $
    25,005,000
 Term Note
  8




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SIOUXLAND ETHANOL, LLC
    Revolving Promissory Note
  Tax Increment Financing (TIF)
     9




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SIOUXLAND ETHANOL, LLC
      2008
    
    
    1,075,6252009
    
    
    4,312,5002010
    
    
    4,447,5002011
    
    
    4,467,500After 2011
    
    
    10,701,875Total long-term debt
    
    $
    25,005,000
 8. COMMITMENTS AND CONTINGENCIES
 Construction contracts
  Expansion Design Build Letter of Intent
  10




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SIOUXLAND ETHANOL, LLC
    Rail Service and Construction Agreement
  Consulting Contracts
  Marketing Agreements
   Utility Contracts
   11




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SIOUXLAND ETHANOL, LLC
    Landfill gas contract
  Rail Car Lease Agreement
  Grant
  9. RELATED PARTY TRANSACTIONS
  10. SUBSEQUENT EVENTS
  12




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Item 2. Managements Discussion and Analysis and Plan of Operations.
 Overview
  Results of Operation
  Liquidity and Capital Resources
   Equity Financing
 Credit Facility
  13




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1 2
    Tax Increment Financing
     14




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Employment and Investment Growth Act Project Agreement.
 15




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Application of Critical Accounting Estimates
  Off-Balance Sheet Arrangements
  
 Item 3. Controls and Procedures
   16




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PART II. OTHER INFORMATION
 
 Item 1. Legal Proceedings
  
 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.
  
 Item 3. Defaults Upon Senior Securities
  
 Item 4. Submission of Matters to a Vote of Security Holders
  
 Item 5. Other Information
  
 Item 6. Exhibits
  10.1
    
    Amendment, dated October 27, 2006, to Credit Agreement, dated
May 4, 2006, between the Company and Farm Credit Services of America, FLCA.10.2
    
    $3.500,000 Revolving Term Note, dated October 27, 2006, from
the Company to Farm Credit Services of America, FLCA10.3
    
    Security Agreement and Assignment of Hedging Account, dated October 27, 2006, between the Company and Farm Credit Services of America, FLCA10.4
    
    Rail Service and Construction Agreement, dated November 11,
2006, between the Company Nebraska Northeastern Railroad10.5
    
    Railroad Car Lease Agreement, dated December 7, 2006, between
the Company and Trinity Industries Leasing Company.10.6
    
    Binding Letter of Intent, dated December 11, 2006, between the
Company and Fagen, Inc. pertaining to services for the development of a 50
million gallon per year expansion to Companys ethanol production facility31.1
    
    Certificate Pursuant to 17 CFR 240.13a-14(a).31.2
    
    Certificate Pursuant to 17 CFR 240.13a-14(a).32.1
    
    Certificate Pursuant to 18 U.S.C. § 1350.32.2
    
    Certificate Pursuant to 18 U.S.C. § 1350.
 17




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SIGNATURES
  SIOUXLAND ETHANOL, LLCDate: February 14, 2007
    /s/ Tom LynchTom LynchChairman and President (Principal Executive Officer)Date: February 14, 2007
    /s/ John KingsburyJohn KingsburyTreasurer (Principal Financial and Accounting Officer) 18