Document:

MLA No. RI0355
                             MASTER LOAN AGREEMENT

         THIS MASTER LOAN AGREEMENT is entered into as of January 30, 2006,
between FARM CREDIT SERVICES OF AMERICA, FLCA ("Farm Credit") and GREEN PLAINS
RENEWABLE ENERGY, INC., Shenandoah, Iowa (the "Company").

                                   BACKGROUND

         From time to time Farm Credit may make loans to the Company. In order
to reduce the amount of paperwork associated therewith, Farm Credit and the
Company would like to enter into a master loan agreement. For that reason, and
in consideration of Farm Credit making one or more loans to the Company, Farm
Credit and the Company agree as follows:

         SECTION 1. Supplements. In the event the Company desires to borrow from
Farm Credit and Farm Credit is willing to lend to the Company, or in the event
Farm Credit and the Company desire to consolidate any existing loans hereunder,
the parties will enter into a Supplement to this agreement (a "Supplement").
Each Supplement will set forth the amount of the loan, the purpose of the loan,
the interest rate or rate options applicable to that loan, the repayment terms
of the loan, and any other terms and conditions applicable to that particular
loan. Each loan will be governed by the terms and conditions contained in this
agreement and in the Supplement relating to the loan.

         SECTION 2. Sale of Participation Interests and Appointment of
Administrative Agent. The Company acknowledges that concurrent with the
execution of this Master Loan Agreement and related Supplements, Farm Credit is
selling a participation interest in this Master Loan Agreement and Supplements
executed concurrently herewith to CoBank, ACB ("CoBank") (up to a 100%
interest). Pursuant to an Administrative Agency Agreement dated January 30,
2006, (the "Agency Agreement"), Farm Credit and CoBank appointed CoBank to act
as Administrative Agent ("Agent") to act in place of Farm Credit hereunder aril
under the Supplements and any security documents to be executed thereunder. All
funds to be advanced hereunder shall be made by Agent, all repayments by the
Company hereunder shall be made to Agent, and all notices to be made to Farm
Credit hereunder shall be made to Agent. Agent shall be solely responsible for
the administration of this agreement, the Supplements and the security documents
to be executed by the Company thereunder and the enforcement of all rights and
remedies of Farm Credit hereunder and thereunder. Company acknowledges the
appointment of the Agent and consents to such appointment.

         SECTION 3. Availability. Loans will be made available on any day on
which Agent and the Federal Reserve Banks are open for business upon the
telephonic or written request of the Company. Requests for loans must be
received no later than 12:00 Noon Company's local time on the date the loan is
desired. Loans will be made available by wire transfer of immediately available
funds to such account or accounts as may be authorized by the Company. The
Company shall furnish to Agent a duly completed and executed copy of a
Delegation and Wire and Electronic Transfer Authorization Form of the Agent, and
Agent shall be entitled to rely on (and shall incur no liability to the Company
in acting on) any request or direction furnished in accordance with the terms
thereof.

         SECTION 4. Repayment. The Company's obligation to repay each loan shall
be evidenced by the promissory note set forth in the Supplement relating to that
loan or by such replacement note as Agent shall require. Agent shall maintain a
record of all loans, the interest accrued thereon, and all payments made with
respect thereto, and such record shall, absent proof of manifest error, be
conclusive evidence

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Master Loan Agreement RI0355                                                   2
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

of the outstanding principal and interest on the loans. All payments shall be
made by wire transfer of immediately available funds, by check, or by automated
clearing house or other similar cash handling processes as specified by separate
agreement between the Company and Agent. Wire transfers shall be made to ABA No.
307088754 for advice to and credit of Agent (or to such other account as Agent
may direct by notice). The Company shall give Agent telephonic notice no later
than 12:00 Noon Company's local time of its intent to pay by wire and funds
received after 3:00 p.m. Company's local time shall be credited on the next
business day. Checks shall be mailed to CoBank, ACB, Department 167, Denver,
Colorado 80291-0167 (or to such other place as Agent may direct by notice).
Credit for payment by check will not be given until the later of: (a) the day on
which Agent receives immediately available funds; or (b) the next business day
after receipt of the check.

         SECTION 5. Capitalization. The Company agrees to purchase voting (Class
D) or non-voting (Class E) stock in Farm Credit Services of America, ACA
(currently a minimum of $1,000.00 worth of stock consisting of at least 200
shares of $5.00 par value stock) as required under the policy of Farm Credit at
the time of acquisition. Farm Credit policy may change from time to time. Farm
Credit shall have a first lien on the stock for payment of any liability of the
Company to Farm Credit. Said stock shall be owned as follows:

         Owner Name: Green Plains Renewable Energy, Inc.     SSN/TIN: 84-1652107

The Company authorizes and appoints the following to act on behalf of all
owners, to vote the Class D stock, and to accept, receive and receipt for any
dividends declared on the stock:

                             Barry Ellsworth, voter

         SECTION 6. Security. The Company's obligations under this agreement,
all Supplements (whenever executed), and all instruments and documents
contemplated hereby or thereby, shall be secured by a statutory first lien on
all equity which the Company may now own or hereafter acquire in Farm Credit. In
addition, the Company agrees to grant to Farm Credit, by means of such
instruments and documents as Agent shall reasonably require, a first lien
(subject only to exceptions approved in writing by Agent) on all personal
property of the Company, and on all real property of the Company, whether now
existing or hereafter acquired. As additional security for those obligations:
(i) the Company agrees to grant to Farm Credit, by means of such instruments and
documents as Agent shall reasonably require, a first priority lien on such of
its other assets, whether now existing or hereafter acquired, as Agent may from
time to time require; and (ii) the Company agrees to grant to Farm Credit, by
means of such instruments and documents as Agent shall require, a first priority
lien on all realty which the Company may from time to time acquire after the
date hereof. Farm Credit may at its discretion assign collateral to the Agent
under the Agency Agreement.

         SECTION 7. Conditions Precedent.

         (A) Conditions to Initial Supplement. Farm Credit's obligation to
extend credit under the initial Supplement hereto is subject to the conditions
precedent that Agent receive, in form and substance satisfactory to Agent, each
of the following:

                  (i) This Agreement, Etc. A duly executed copy of this
Agreement and all instruments and documents contemplated hereby.

<PAGE>
Master Loan Agreement RI0355                                                   3
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

                  (ii) Security Agreement. A security agreement granting to Farm
Credit a first lien (subject only to exceptions approved in writing by Agent) on
all personal property of the Company, whether now owned or hereafter acquired.

                  (iii) Mortgage/Deed of Trust. A mortgage or deed of trust
granting to Farm Credit a first lien (subject only to exceptions approved in
writing by Agent) on the Company's Property (as that term is defined in the
applicable Supplements) located new Shenandoah, Iowa.

                  (iv) Title Commitment/Policy. A commitment from a title
insurance company acceptable to Agent to issue an ALTA lender's policy of title
insurance in the face amount of $47,000,000.00 insuring the Company's Mortgage
or Deed of Trust to Farm Credit as a first priority lien on the property
encumbered thereby, subject only to exceptions approved in writing by Agent. The
Company agrees to pay the cost of such commitment and the related policy,
together with such endorsements as may be reasonably requested by Agent, and
also agrees that if, for any reason, a final policy is not issued by the date
that is ninety (90) days after the date of this agreement or such later date as
may be agreeable to Agent, then an "Event of Default" shall be deemed to have
occurred under this agreement.

                  (v) Opinion of Counsel. An opinion of the Company's counsel
(in form and substance acceptable to Agent) confirming due authorization and
execution of the loan documents.

                  (vi) Environmental Audit. A written report of an environmental
audit pertaining to the Company's real property located new Shenandoah, Iowa,
produced by an independent national or regional environmental consulting firm or
such other evidence satisfactory to Agent, which report or evidence shall show
to Agent's satisfaction that all appropriate inquiry was made and that the past
or present use or condition of the property poses neither material health or
safety hazards nor potential fmancial exposure that Agent in its sole
discretion, fmds unacceptable.

                  (vii) Insurance. Certificates from the insurance carrier for
the general contractor or contractors (and if the Company is not adequately
insured therein, from the Company's insurance carrier) evidencing workers'
compensation and liability insurance (including contractual liability) carried
during the course of construction, with liability limits for death of or injury
to persons and for damages to property in amounts acceptable to Agent or such
other limits if any are established under the construction contract(s). Without
limiting the provision in Section 9(D) herein or the foregoing, the Company
agrees to obtain Builder's Risk casualty insurance covering fire and other
casualty with extended coverage including vandalism and malicious mischief.

                  (viii) Evidence of Capital. Such evidence as Agent may require
that the Company has obtained equity capital, or acceptable binding commitments
thereof including non-repayable Tax Increment Financing and grants, in an amount
no less than $32,400,000.00, all with terms and conditions acceptable to Agent.

                  (ix) Appraisal. An appraisal of the Property by a licensed,
independent appraiser satisfactory to Agent, such appraisal to include a value
for the proposed ethanol facility to be located on the Company's real property
located new Shenandoah, Iowa.

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Master Loan Agreement RI0355                                                   4
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

                  (x) Survey. An ALTA quality survey of the Property by a
licensed surveyor satisfactory to Agent verifying no encroachments by any
Improvements on the Property onto adjoining property, or such other information
as may be required by Agent.

                  (xi) Process/Yield Guarantee. An acceptable Process/Yield
Guarantee from the design engineer and contractor, acceptable to Agent, as well
as a minimum one-year warranty on all work performed.

                  (xii) Engineering and Construction Contracts. Copies of all
engineering and construction contracts with payment retainage and fixed-price
provisions acceptable to Agent.

                  (xiii) Utilities; Access. A certificate from the Company or
the Company's engineer, or other evidence satisfactory to Agent, as to the
methods of access to and egress from the Property and the availability of water
supply, electricity, natural gas, and other utilities, and for the disposal of
wastewater, all in locations and capacities sufficient to meet the reasonable
requirements of the Property and the Improvements and otherwise satisfactory to
Agent.

                  (xiv) Project Budget and Schedule, Contracts and Plans.
Project budget, schedule, contracts and plans as follows: (i) a budget setting
forth the total estimated direct costs for construction (including real property
acquisition, site preparation, railroad siding, sales taxes related to
construction, contingencies and capital interest, but excluding working capital)
not to exceed an aggregate total of $71,000,000.00 for the Improvements, and
indirect costs, (including costs to organize and obtain fmancing, and for
preproduction expenses, but excluding working capital) not to exceed an
aggregate total of $2,000,000.00, including line item cost breakdowns for all
direct costs by trade, job, and subcontractor, and a schedule of all sources of
funds to pay such costs (the "Project Budget"); (ii) a schedule setting forth,
by trade, job, and subcontractor, the estimated dates of commencement and
completion of construction of the Improvements (the "Project Schedule"); (iii) a
schedule of the amounts and times of advances anticipated to be requisitioned by
the Company from time to time during the term of construction of the
Improvements (the "Disbursement Schedule"); (iv) a list of all subcontractors
and materialmen who have been, or, to the extent then determined by the Company,
will be supplying labor, materials or goods for the Improvements; (v) two sets
of the Plans with a certification from the Company and from the Company's
architect or engineer, or with other evidence satisfactory to Agent as to the
following matters: (a) that the Improvements can be completed by, May 1, 2007,
(the "Completion Date"); (b) that the Project Budget, Project Schedule,
Disbursement Schedule and the Plans satisfactorily provide for the construction
of the Improvements; and (c) that the Improvements upon completion will comply
with all Laws (as defined in Section 9(B) hereof), including, without
limitation, all Laws relating to the environment, and all approvals, consents,
permits and licenses required under such Laws (the "Project Approvals") which
have been obtained or are to be obtained by the Company relating in any way to
the acquisition, construction or the contemplated operation of the Improvements
(including, without limitation, those relating to zoning, building, use and
occupancy, fire prevention and health); and (vi) a list of the Project Approvals
indicating those Project Approvals obtained and to be obtained (and a schedule
for obtaining such Project Approvals).

         (xv) Escrow Agreement. An escrow agreement for distribution of loan
funds acceptable to Agent specifically providing for a Title/Abstract Company to
distribute all funds. Costs of said agreement are to be paid by the Company.

<PAGE>
Master Loan Agreement RI0355                                                   5
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

         (B) Conditions to Each Supplement. Farm Credit's obligation to extend
credit under each Supplement, including the initial Supplement, is subject to
the conditions precedent that Agent receive, in form and content satisfactory to
Agent, each of the following:

                  (i) Supplement. A duly executed copy of the Supplement and all
instruments and documents contemplated thereby.

                  (ii) Evidence of Authority. Such certified board resolutions,
evidence of incumbency, and other evidence that Agent may require that the
Supplement, all instruments and documents executed in connection therewith, and,
in the case of initial Supplement hereto, this agreement and all instruments and
documents executed in connection herewith, have been duly authorized and
executed.

                  (iii) Fees and Other Charges. A11 fees and other charges
provided for herein or in the Supplement.

                  (iv) Evidence of Perfection, Etc. Such evidence as Agent may
require that Farm Credit has a duly perfected first priority lien on all
security for the Company's obligations, and that the Company is in compliance
with Section 9(D) hereof.

         (C) Conditions to Each Loan. Farm Credit's obligation under each
Supplement to make any loan to the Company thereunder is subject to the
condition that no "Event of Default" (as defmed in Section 12 hereof) or event
which with the giving of notice and/or the passage of time would become an Event
of Default hereunder (a "Potential Default"), shall have occurred and be
continuing.

SECTION 8. Representations and Warranties.

         (A) This Agreement. The Company represents and warrants to Farm Credit
and Agent that as of the date of this Agreement:

                  (i) Compliance. The Company and, to the extent contemplated
hereunder, each "Subsidiary" (as defmed below), is in compliance with all of the
terms of this agreement, and no Event of Default or Potential Default exists
hereunder.

                  (ii) Subsidiaries. The Company has no "Subsidiary(ies)" (as
defined below). For purposes hereof, a "Subsidiary" shall mean a corporation of
which shares of stock having ordinary voting power to elect a majority of the
board of directors or other managers of such corporation are owned, directly or
indirectly, by the Company.

         (B) Each Supplement. The execution by the Company of each Supplement
hereto shall constitute a representation and warranty to Agent that:

                  (i) Applications. Each representation and warranty and all
information set forth in any application or other documents submitted in
connection with, or to induce Farm Credit to enter into, such Supplement, is
correct in all material respects as of the date of the Supplement.

<PAGE>
Master Loan Agreement RI0355                                                   6
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

                  (ii) Conflicting Agreements, Etc. This agreement, the
Supplements, and all security and other instruments and documents relating
hereto and thereto (collectively, at any time, the "Loan Documents"), do not
conflict with, or require the consent of any party to, any other agreement to
which the Company is a party or by which it or its property may be bound or
affected, and do not conflict with any provision of the Company's operating
agreement and articles of organization.

                  (iii) Compliance. The Company and, to the extent contemplated
hereunder, each Subsidiary, is in compliance with all of the terms of the Loan
Documents (including, without limitation, Section 9(A) of this agreement on
eligibility to borrow from Farm Credit).

                  (iv) Binding Agreement. The Loan Documents create legal,
valid, and binding obligations of the Company which are enforceable in
accordance with their terms, except to the extent that enforcement may be
limited by applicable bankruptcy, insolvency, or similar laws affecting
creditors' rights generally.

         SECTION 9. Affirmative Covenants. Unless otherwise agreed to in writing
by Agent while this agreement is in effect, the Company agrees to, and with
respect to Subsections 9(B) through 9(G) hereof, agrees to cause each Subsidiary
to:

         (A) Eligibility. Maintain its status as an entity eligible to borrow
from Farm Credit pursuant to the terms of the Farm Credit Act of 1971, as
amended, 12 USC 2001, et seq.

         (B) Company Existence, Licenses, Etc. (i) Preserve and keep in full
force and effect its existence and good standing in the jurisdiction of its
formation; (ii) qualify and remain qualified to transact business in all
jurisdictions where such qualification is required; and (iii) obtain and
maintain all licenses, certificates, permits, authorizations, approvals, and the
like which are material to the conduct of its business or required by law, rule,
regulation, ordinance, code, order, and the like (collectively, "Laws").

         (C) Compliance with Laws. Comply in all material respects with all
applicable Laws, including, without limitation, all Laws relating to
environmental protection. In addition, the Company agrees to cause all persons
occupying or present on any of its properties, and to cause each Subsidiary to
cause all persons occupying or present on any of its properties, to comply in
all material respects with all environmental protection Laws.

         (D) Insurance. Maintain insurance with insurance companies or
associations reasonably acceptable to Agent in such amounts and covering such
risks as are usually carried by companies engaged in the same or similar
business and similarly situated, and make such increases in the type or amount
of coverage as Agent may reasonably request. All such policies insuring any
collateral for the Company's obligations to Farm Credit shall have mortgagee or
lender loss payable clauses or endorsements in form and content acceptable to
Agent. At Agent's request, all policies (or such other proof of compliance with
this Subsection as may be satisfactory to Agent) shall be delivered to Agent.

         (E) Property Maintenance. Maintain all of its property that is
necessary to or useful in the proper conduct of its business in good working
condition, ordinary wear and tear excepted.

<PAGE>
Master Loan Agreement RI0355                                                   7
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

         (F) Books and Records. Keep adequate records and books of account in
which complete entries will be made in accordance with generally accepted
accounting principles ("GAAP") consistently applied.

         (G) Inspection. Permit Agent or its agents, upon reasonable notice and
during normal business hours or at such other times as the parties may agree, to
examine its properties, books, and records, and to discuss its affairs,
finances, and accounts, with its respective officers, directors, employees, and
independent certified public accountants.

                  Reports and Notices. Furnish to Agent:

                  (i) Annual Financial Statements. As soon as available, but in
no event more than 120 days after the end of each fiscal year of the Company
occurring during the term hereof, annual consolidated and consolidating
financial statements of the Company and its consolidated Subsidiaries, if any,
prepared in accordance with GAAP consistently applied. Such financial statements
shall: (a) be audited by independent certified public accountants selected by
the Company and acceptable to Agent; (b) be accompanied by a report of such
accountants containing an opinion thereon acceptable to Agent; (c) be prepared
in reasonable detail and in comparative form; and (d) include a balance sheet, a
statement of income, a statement of retained earnings, a statement of cash
flows, and all notes and schedules relating thereto.

                  (ii) Interim Financial Statements. Effective with the
commencement of operations, as soon as available, but in no event more than 30
days after the end of each month, a consolidated balance sheet of the Company
and its consolidated Subsidiaries, if any, as of the end of such month, a
consolidated statement of income for the Company and its consolidated
Subsidiaries, if any for such period and for the period year to date, and such
other interim statements as Agent may reasonably request, all prepared in
reasonable detail and in comparative form in accordance with GAAP consistently
applied and, if required by written notice from Agent, certified by an
authorized officer or employee of the Company acceptable to Agent.

                  (iii) Notice of Default. Promptly after becoming aware
thereof, notice of the occurrence of an Event of Default or a Potential Default.

                  (iv) Notice of Non-Environmental Litigation. Promptly after
the commencement thereof, notice of the commencement of all actions, suits, or
proceedings before any court, arbitrator, or governmental department,
commission, board, bureau, agency, or instrumentality affecting the Company or
any Subsidiary which, if determined adversely to the Company or any such
Subsidiary, could have a material adverse effect on the financial 'condition,
properties, profits, or operations of the Company or any such Subsidiary.

                  (v) Notice of Environmental Litigation, Etc. Promptly after
receipt thereof, notice of the receipt of all pleadings, orders, complaints,
indictments, or any other communication alleging a condition that may require
the Company or any Subsidiary to undertake or to contribute to a cleanup or
other response under environmental Laws, or which seek penalties, damages,
injunctive relief, or criminal sanctions related to alleged violations of such
Laws, or which claim personal injury or property damage to any person as a
result of environmental factors or conditions.

<PAGE>
Master Loan Agreement RI0355                                                   8
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

                  (vi) Bylaws and Articles. Promptly after any change in the
Company's bylaws or articles of incorporation (or like documents), copies of all
such changes, certified by the Company's Secretary.

                  (vii) Budgets. As soon as available, but in no event more than
90 days after the end of any fiscal year of the Company occurring during the
term hereof, copies of the Company's board-approved annual budgets and forecasts
of operations and capital expenditures.

                  (viii) Compliance Certificate. Together with each set of
fmancial statements furnished to Agent pursuant to Section 9(H) hereof for a
period corresponding to a period for which one or more of the financial
covenants set forth in Section 11 hereof are required to be tested, a
certificate of an officer or employee of the Company acceptable to Agent setting
forth calculations showing compliance with each of the fmancial covenants that
require compliance at the end of the period for which the statements are being
furnished.

                  (ix) Other Information. Such other information regarding the
condition or operations, financial or otherwise, of the Company or any
Subsidiary as Agent may from time to time reasonably request, including but not
limited to copies of all pleadings, notices, and communications referred to in
Subsections 9(H)(iv) and (v) above.

         (I) Policies/Contracts. Provide to Agent by no later than November 1,
2006, copies of: (i) any management contracts; (ii) risk management policies and
programs/strategies acceptable to Agent pertaining to grain procurement, and for
marketing of ethanol and related byproducts; and (iii) distillers grain and
ethanol marketing agreements with organizations experienced in marketing these
products and acceptable to Agent. Furthermore, all contracts are to be
assignable to Agent at Agent's request.

         (I~) Performance Bonds. Provide performance bonds, in form and content
acceptable to Agent, for construction and related contracts upon request by
Agent.

         SECTION 10. Negative Covenants. Unless otherwise agreed to in writing
by Agent, we this agreement is in effect the Company will not:

         (A) Borrowings. Create, incur, assume, or allow to exist, directly or
indirectly, any indebtedness or liability for borrowed money (including trade or
bankers' acceptances), letters of credit, or the deferred purchase price of
property or services, except for: (i) debt to Farm Credit; (ii) accounts payable
to trade creditors incurred in the ordinary course of business; (iii) current
operating liabilities (other than for borrowed money) incurred in the ordinary
course of business; (iv) debt of the Company to miscellaneous creditors, in an
aggregate amount not to exceed $500,000.00 on terms and conditions satisfactory
to Agent, provided that such debt is subordinate to all indebtedness of the
Company to Farm Credit.

         (B) Liens. Create, incur, assume, or allow to exist any mortgage, deed
of trust, pledge, lien (including the lien of an attachment, judgment, or
execution), security interest, or other encumbrance of any kind upon any of its
property, real or personal (collectively, "Liens"). The foregoing restrictions
shall not apply to: (i) Liens in favor of Farm Credit; (ii) Liens for taxes,
assessments, or governmental charges that are not past due; (iii) Liens and
deposits under workers' compensation, unemployment insurance, and social
security Laws; (iv) Liens and deposits to secure the performance of bids,

<PAGE>
Master Loan Agreement RI0355                                                   9
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

tenders, contracts (other than contracts for the payment of money), and like
obligations arising in the ordinary course of business, as conducted on the date
hereof; (v) Liens imposed by Law in favor of mechanics, materialmen,
warehousemen, and like persons that secure obligations that are not past due;
(vi) easements, rights-ofway, restrictions, and other similar encumbrances
which, in the aggregate, do not materially interfere with the occupation, use,
and enjoyment of the property or assets encumbered thereby in the normal course
of its business or materially impair the value of the property subject thereto;
and (vii) subordinate Liens in favor of miscellaneous creditors to secure
indebtedness permitted hereunder.

         (C) Mergers, Acquisitions, Etc. Merge or consolidate with any other
entity or acquire all or a material part of the assets of any person or entity,
or form or create any new Subsidiary or affiliate, or commence operations under
any other name, organization, or entity, including any joint venture.

         (D) Transfer of Assets. Sell, transfer, lease, or otherwise dispose of
any of its assets, except in the ordinary course of business.

         (E) Loans. Lend or advance money, credit, or property to any person or
entity, except for trade credit extended in the ordinary course of business.

         (F) Contingent Liabilities. Assume, guarantee, become liable as a
surety, endorse, contingently agree to purchase, or otherwise be or become
liable, directly or indirectly (including, but not limited to, by means of a
maintenance agreement, an asset or stock purchase agreement, or any other
agreement designed to ensure any creditor against loss), for or on account of
the obligation of any person or entity, except by the endorsement of negotiable
instruments for deposit or collection or similar transactions in the ordinary
course of the Company's business.

         (G) Change in Business. Engage in any business activities or operations
substantially different from or unrelated to the Company's planned business
activities or operations as stated in its Operating Agreement.

               Capital Expenditures. Beginning with fiscal year ending 2008,
expend, in the aggregate, during any fiscal year more than $500,000.00 for the
acquisition of fixed or capital assets (including all obligations under
capitalized leases authorized under the terms of this agreement, but excluding
obligations under operating leases).

         (I) Leases. Create, incur, assume, or permit to exist any obligation as
lessee under operating leases or leases which should be capitalized in
accordance with GAAP for the rental or hire of any real or personal property,
except leases which do not in the aggregate require the Company to make
scheduled payments to the lessors in any fiscal year of the Company in excess of
$100,000.00.

         (J) Changes to Agreements, Contracts, Etc. Amend or otherwise make any
material changes to the Company's Articles of Incorporation, Bylaws, ethanol and
distillers grain marketing contracts, risk management policies, hedging or grain
procurement contracts.

         (K) Dividends, Etc. Declare or pay any dividends, or make any
distribution of assets to the member/owners, or purchase, redeem, retire or
otherwise acquire for value any of its equity, or allocate or otherwise set
apart any sum for any of the foregoing, except that for each fiscal year of the
Company, a distribution may be made to the Company's members/owners of up to 40%

<PAGE>
Master Loan Agreement RI0355                                                  10
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

of the net profit (according to GAAP) for such fiscal year after receipt of the
audited fmancial statements for the pertinent fiscal year, provided that the
Company has been and will remain in compliance with all loan covenants, terms
and conditions. Furthermore, with respect to fiscal year ending 2008 and each
subsequent fiscal year, a distribution may be made to its members/owners in
excess of 40% of the net profit for such fiscal year if the Company has made the
required "Free Cash Flow" payment to Agent for such fiscal year as provided in
Construction and Term Loan Supplement dated January 30, 2006, and numbered
RI0355T01 and any renewals, restatements and amendments thereof, and will remain
in compliance with all other loan covenant, terms and conditions.

         SECTION 11. Financial Covenants. Unless otherwise agreed to in writing,
while this agreement is in effect:

         (A) Working Capital. The Company will have at the end of each period
for which fmancial statements are required to be furnished pursuant to Section
9(H) hereof, an excess of current assets over current liabilities (both as
determined in accordance with GAAP consistently applied) of not less than: (i)
$5,000,000.00 at the earlier of commencement of operations or by May 31, 2007;
and (ii) in any event, increasing to $6,000,000.00 at fiscal year ending 2007,
and thereafter, except that in determining current assets, any amount available
under the Construction and Revolving Term Loan Supplement hereto (less the
amount that would be considered a current liability under GAAP if fully
advanced) may be included.

         (B) Net Worth. The Company will have, at the end of each period for
which fmancial statements are required to be furnished under Section 9(H) hereof
an excess of total assets over total liabilities (both as determined in
accordance with GAAP consistently applied) of not less than: (i) $31,000,000.00;
(ii) increasing to $32,000,000.00 at fiscal year ending 2007; and (iii)
increasing to $34,000,000.00 at fiscal year ending 2008 and thereafter.

         (C) Debt Service Coverage Ratio. The Company will have at the end of
each fiscal year of the Company, effective with the fiscal year ending 2007, a
"Debt Service Coverage Ratio" (as defined below) for that year of not less than
1.5 to 1.0. For purposes hereof, the term "Debt Service Coverage Ratio" shall
mean the following (all as calculated for the most current year-end in
accordance with GAAP consistently applied): (i) net income (after taxes), plus
depreciation and amortization; divided by (ii) all current portion of regularly
scheduled long term debt for the prior period (previous year-end).

         SECTION 12. Events of Default. Each of the following shall constitute
an "Event of Default" under this agreement:

         (A) Payment Default. The Company should fail to make any payment to
Agent, or purchase any equity in Farm Credit, within ten (10) days of when due.

         (B) Representations and Warranties. Any representation or warranty made
or deemed made by the Company herein or in any Supplement, application,
agreement, certificate, or other document related to or furnished in connection
with this agreement or any Supplement, shall prove to have been false or
misleading in any material respect on or as of the date made or deemed made.

         (C) Certain Affirmative Covenants. The Company or, to the extent
required hereunder, any Subsidiary should fail to perform or comply with
Sections 9(A) through 9(H)(ii), 9(H)(vi) through 9(H)(viii) or any reporting

<PAGE>
Master Loan Agreement RI0355                                                  11
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

covenant set forth in any Supplement hereto, and such failure continues for 15
days after written notice thereof shall have been delivered by Agent to the
Company.

         (D) Other Covenants and Agreements. The Company or, to the extent
required hereunder, any Subsidiary should fail to perform or comply with any
other covenant or agreement contained herein or in any other Loan Document or
shall use the proceeds of any loan for an unauthorized purpose.

         (E) Cross-Default. The Company should, after any applicable grace
period, breach or be in default under the terms of any other agreement between
the Company and Farm Credit.

         (F) Other Indebtedness. The Company or any Subsidiary should fail to
pay when due any indebtedness to any other person or entity for borrowed money
or any long-term obligation for the deferred purchase price of property
(including any capitalized lease), or any other event occurs which, under any
agreement or instrument relating to such indebtedness or obligation, has the
effect of accelerating or permitting the acceleration of such indebtedness or
obligation, whether or not such indebtedness or obligation is actually
accelerated or the right to accelerate is conditioned on the giving of notice,
the passage of time, or otherwise.

         (G) Judgments. A judgment, decree, or order for the payment of money
shall be rendered against the Company or any Subsidiary and either: (i)
enforcement proceedings shall have been commenced, or (ii) a Lien prohibited
under Section 10(B) hereof shall have been obtained, or (iii) such judgment,
decree, order, or Lien shall continue unsatisfied and in effect for a period of
20 consecutive days without being vacated, discharged, satisfied, or stayed
pending appeal.

         (H) Insolvency, Etc. The Company or any Subsidiary shall: (i) become
insolvent or shall generally not, or shall be unable to, or shall at in writing
its inability to, pay its debts as they come due; or (ii) suspend its business
operations or a material part thereof or make an assignment for the benefit of
creditors; or (iii) apply for, consent to, or acquiesce in the appointment of a
trustee, receiver, or other custodian for it or any of its property or, in the
absence of such application, consent, or acquiescence, a trustee, receiver, or
other custodian is so appointed; or (iv) commence or have commenced against it
any proceeding under any bankruptcy, reorganization, arrangement, readjustment
of debt, dissolution, or liquidation Law of any jurisdiction.

         (I) Material Adverse Change. Any material adverse change occurs, as
reasonably determined by Agent, in the Company's financial condition, results of
operation, or ability to perform its obligations hereunder or under any
instrument or document contemplated hereby.

         SECTION 13. Remedies. Upon the occurrence and during the continuance of
an Event of Default or any Potential Default, Farm Credit shall have no
obligation to continue to extend credit to the Company and may discontinue doing
so at any time without prior notice. For all purposes hereof, the term
"Potential Default" means the occurrence of any event which, with the passage of
time or the giving of notice or both would become an Event of Default. In
addition, upon the occurrence and during the continuance of any Event of
Default, Farm Credit or Agent may, upon notice to the Company, terminate any
commitment and declare the entire unpaid principal balance of the loans, all
accrued interest thereon, and all other amounts payable under this agreement,
all Supplements, and the other Loan Documents to be immediately due and payable.
Upon such a declaration, the unpaid principal balance of the loans and all such
other amounts shall become immediately due and payable, without protest,

<PAGE>
Master Loan Agreement RI0355                                                  12
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

presentment, demand, or further notice of any kind, all of which are hereby
expressly waived by the Company. In addition, upon such an acceleration: (A)
Enforcement. Farm Credit or Agent may proceed to protect, exercise, and enforce
such rights and remedies as may be provided by this agreement, any other Loan
Document or under Law. Each and every one of such rights and remedies shall be
cumulative and may be exercised from time to time, and no failure on the part of
Farm Credit or Agent to exercise, and no delay in exercising, any right or
remedy shall operate as a waiver thereof, and no single or partial exercise of
any right or remedy shall preclude any other or future exercise thereof, or the
exercise of any other right. Without limiting the foregoing, Agent may, upon the
occurrence and during the continuance of any Event of Default, hold and/or set
off and apply against the Company's obligations to Farm Credit cash collateral
held by Farm Credit or Agent, or any balances held by Farm Credit or Agent for
the Company's account (whether or not such balances are then due).

         (B) Application of Funds. Agent may apply all payments received by it
to the Company's obligations to Farm Credit in such order and manner as Agent
may elect in its sole discretion.

In addition to the rights and remedies set forth above: (i) if the Company fails
to purchase any equity in Farm Credit when required or fails to make any payment
to Agent when due, then at Agent's option in each instance, such payment shall
bear interest from the date due to the date paid at 4% per annum in excess of
the rate(s) of interest that would otherwise be in effect on that loan; and (ii)
after the maturity of any loan (whether as a result of acceleration or
otherwise), the unpaid principal balance of such loan (including without
limitation, principal, interest, fees and expenses) shall automatically bear
interest at 4% per annum in excess of the rate(s) of interest that would
otherwise be in effect on that loan. All interest provided for herein shall be
payable on demand and shall be calculated on the basis of a year consisting of
360 days.

         SECTION 14. Broken Funding Surcharge. Notwithstanding any provision
contained in any Supplement giving the Company the right to repay any loan prior
to the date it would otherwise be due and payable, the Company agrees that in
the event it repays any fixed rate balance prior to its scheduled due date or
prior to the last day of the fixed rate period applicable thereto (whether such
payment is made voluntarily, as a result of an acceleration, or otherwise), the
Company will pay to Agent a surcharge in an amount equal to the greater of: (i)
an amount that would result in Farm Credit, Agent, and all subparticipants being
made whole (on a present value basis) for the actual or imputed funding losses
incurred by Farm Credit, Agent, and all subparticipants as a result thereof; or
(ii) $300.00. Notwithstanding the foregoing, in the event any fixed rate balance
is repaid as a result of the Company refmancing the loan with another lender or
by other means, then in lieu of the foregoing, the Company shall pay to Agent a
surcharge in an amount sufficient (on a present value basis) to enable Farm
Credit, Agent, and all subparticipants to maintain the yield they would have
earned during the fixed rate period on the amount repaid. Such surcharges will
be calculated in accordance with methodology established by Farm Credit, Agent,
and all subparticipants (copies of which will be made available to the Company
upon request).

         SECTION 15. Complete Agreement, Amendments. This agreement, all
Supplements, and all other instruments and documents contemplated hereby and
thereby, are intended by the parties to be a complete and final expression of
their agreement. No amendment, modification, or waiver of any provision hereof
or thereof, and no consent to any departure by the Company herefrom or

<PAGE>
Master Loan Agreement RI0355                                                  13
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

therefrom, shall be effective unless approved by Agent and contained in a
writing signed by or on behalf of Agent, and then such waiver or consent shall
be effective only in the specific instance and for the specific purpose for
which given. In the event this agreement is amended or restated, each such
amendment or restatement shall be applicable to all Supplements hereto.

         SECTION 16. Other Types of Credit. From time to time, Farm Credit may
extend other types of credit to or for the account of the Company to expedite or
facilitate the loans extended hereunder. In the event the parties desire to do
so under the terms of this agreement, such extensions of credit may be set forth
in any Supplement hereto and this agreement shall be applicable thereto.

         SECTION 17. Applicable Law. Except to the extent governed by applicable
federal law, this agreement and each Supplement shall be governed by and
construed in accordance with the laws of the State of Colorado, without
reference to choice of law doctrine.

         SECTION 18. Notices. All notices hereunder shall be in writing and
shall be deemed to be duly given upon delivery if personally delivered or sent
by telegram or facsimile transmission, or three days after mailing if sent by
express, certified or registered mail, to the parties at the following addresses
(or such other address for a party as shall be specified by like notice):

If to Agent, as follows:                    If to the Company, as follows:

For general correspondence purposes:        Green Plains Renewable Energy, Inc.
CoBank, ACB                                 9635 Irvine Bay Court
P.O. Box 5110                               Las Vegas, Nevada 89147
Denver, Colorado 80217-5110
                                            Attention: President
For direct delivery purposes,               Fax No.: (702) 220-4535
when desired:
CoBank, ACB                                 With copy to:
5500 South Quebec Street
Greenwood Village, Colorado 80111-1914      Green Plains Renewable Energy, Inc.
                                            119 South Elm Street
Attention: Credit Information               Shenandoah, Iowa 51601
Services Fax No.:
(303) 224-6101                              Attention: Manager

<PAGE>
Master Loan Agreement RI0355                                                  14
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

         SECTION 19. Taxes and Expenses. To the extent allowed by law, the
Company agrees to pay all reasonable out-of-pocket costs and expenses (including
the fees and expenses of counsel retained or employed by Agent, including
expenses of in-house counsel of Agent) incurred by Agent and any participants
from Farm Credit in connection with the administration, collection, and
enforcement of this agreement and the other Loan Documents, including, without
limitation, all costs and expenses incurred in perfecting, maintaining,
determining the priority of, and releasing any security for the Company's
obligations to Farm Credit, and any stamp, intangible, transfer, or like tax
payable in connection with this agreement or any other Loan Document.

         SECTION 20. Effectiveness and Severability. This agreement shall
continue in effect until: (i) all indebtedness and obligations of the Company
under this agreement, all Supplements, and all other Loan Documents shall have

<PAGE>
Master Loan Agreement RI0355                                                  15
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

been paid or satisfied; (ii) Agent has no commitment to extend credit to or for
the account of the Company under any Supplement; and (iii) either party sends
written notice to the other terminating this agreement. Any provision of this
agreement or any other Loan Document which is prohibited or unenforceable in any
jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
such prohibition or unenforceability without invalidating the remaining
provisions hereof or thereof.

         SECTION 21. Successors and Assigns. This agreement, each Supplement,
and the other Loan Documents shall be binding upon and inure to the benefit of
the Company and Farm Credit and their respective successors and assigns, except
that the Company may not assign or transfer its rights or obligations under this
agreement, any Supplement or any other Loan Document without the prior written
consent of Agent.

         SECTION 22. Participations, Etc. From time to time, Farm Credit may
sell to one or more banks, financial institutions or other lenders a
participation in one or more of the loans or other extensions of credit made
pursuant to this agreement. However, no such participation shall relieve Farm
Credit of any commitment made to the Company under any Supplement hereto. In
connection with the foregoing, Farm Credit may disclose information concerning
the Company and its Subsidiaries to any participant or prospective participant,
provided that such participant or prospective participant agrees to keep such
information confidential. Farm Credit agrees that all Loans that are made by
Farm Credit and that are retained for its own account or repurchased may be
entitled to patronage distributions in accordance with the bylaws of Farm Credit
and its practices and procedures related to patronage distribution. Accordingly,
all Loans that are included in a sale of participation interest and not retained
or repurchased shall not be entitled to patronage distributions from Farm
Credit. A sale of participation interest may include certain voting rights of
the participants regarding the Loans hereunder (including without limitation the
administration, servicing and enforcement thereof). Farm Credit agrees to give
written notification to the Company of any sale of participation interests.

         SECTION 23. Administrative Fee. The Company agrees to pay to Agent on
November 20, 2007, and on each November 20 thereafter, for as long as the
Company has commitments from Farm Credit, an administrative fee in the amount of
$25,000.00.

         SECTION 24. Counterparts. This Agreement may be executed in any number
of counterparts and by different parties to this Agreement in separate
counterparts, each of which, when so executed, shall be deemed to be an original
and all of which taken together shall constitute one and the same Agreement.

         IN WITNESS WHEREOF, the parties hereto have caused the execution of
this Agreement as of the date first above written.

FARM CREDIT SERVICES                         GREEN PLAINS RENEWABLE ENERGY, INC.
OF AMERICA, FLCA

By: /s/ Gary Mazour                          By: /s/ Barry A. Ellsworth
---------------------------                     -------------------------------
Its: V.P.                                       Its: CEO & PresidentLoan No. RI0355T01

                         CONSTRUCTION AND TERM LOAN SUPPLEMENT

         THIS SUPPLEMENT to the Master Loan Agreement dated January 30, 2006,
(the "MLA"), is entered into as of January 30, 2006, between FARM CREDIT
SERVICES OF AMERICA, FLCA ("Farm Credit") and GREEN PLAINS RENEWABLE ENERGY,
INC., Shenandoah, Iowa (the "Company").

         SECTION 1. The Construction and Term Loan Commitment. On the terms and
conditions set forth in the MLA and this Supplement, Farm Credit agrees to make
construction loans to the Company from time to time during the period set forth
below in an aggregate principal amount not to exceed, at any one time
outstanding, $30,000,000.00 (the "Commitment"). Under the Commitment, amounts
borrowed and later repaid may not be reborrowed. No advance shall be made until
evidence has been provided to the Agent (as that term is defmed in the MLA) as
required in Section 7(A)(viii) of the MLA that all requisite equity funds have
been received by the Company and that such funds shall have been utilized for
the construction of the Improvements (as defmed herein).

         SECTION 2. Purpose. The purpose of the Commitment is to partially
fmance the Company's construction of a 50 million gallon (annual) dry mill
ethanol plant, (the "Improvements") identified in the plans and specifications
provided to and approved by Agent pursuant to Section 7(A)(xiv) of the MLA (as
the same may be amended pursuant to Section 12(A) herethe "Plans"), on real
property owned by the Company near Shenandoah, Iowa (the "Property") and to
provide working capital to the Company. The Company agrees to utilize the
proceeds of the Commitment for these purposes only.

         SECTION 3. Term. The term of the Commitment shall be from the date
hereof, up to and including July 1, 2007, or such later date as Agent may, in
its sole discretion, authorize in writing.

         SECTION 4. Disbursements of Proceeds.

         (A) Disbursement Procedures.

                  (1) Limits on Advances. Agent shall not be required to advance
funds: (i) for any category or line item of acquisition or construction cost an
amount greater than the amount specified therefor in the Project Budget (as
defmed in Section 7(A)(xiv) of the MLA); or (ii) for any services not yet
performed or for materials or goods not yet incorporated into the Improvements
or delivered to and properly stored on the Property. No advance hereunder shall
exceed 100% of the aggregate costs actually paid or currently due and payable
and represented by invoices accompanying a Request for Construction Loan Advance
submitted pursuant to Section 9(B)(1) herein less the amount of retainage
("Retainage") set out in the construction contract dated January 17, 2006,
between the Company and Fagen, Inc., and other construction contracts of the
Company for the Improvements.

                  (2) Advance of Retainage. The Retainage (but in no case
greater than the unused balance of the Commitment allocated for construction)
will be advanced by Agent to the Company pursuant to the conditions set forth in
such construction contracts, upon written request by the Company certifying the
satisfaction of such conditions precedent for payment of Retainage.

                  (3) Advances for Working Capital Purposes. Company may request
advances for pre-production expenses or working capital purposes at any time
upon written verification to Agent of the purpose of such advance request.

<PAGE>
Construction and Term Loan Supplement RI0355T01                                2
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

         (B) Payments to Third Parties. At its option and without further
authorization from the Company, Agent is authorized to make advances under the
Commitment by paying, directly or jointly with the Company, any person to whom
Agent in good faith determines payment is due and any such advance shall be
deemed made as of the date on which Agent makes such payment and shall be
secured under the deed of trust/mortgage securing the Commitment and any other
loan documents securing the Commitment as fully as if made directly to the
Company.

         SECTION 5. Interest and Fees.

         (A) Interest. The Company agrees to pay interest on the unpaid
principal balance of the loans in accordance with one or more of the following
interest rate options, as selected by the Company:

                  (1) Agent Base Rate. At a rate per annum equal at all times to
the rate of interest established by Agent from time to time as its Agent Base
Rate, which Rate is intended by Agent to be a reference rate and not its lowest
rate plus the Performance Pricing Adjustments, if any, set forth in Section
5(A)(4) below. The Agent Base Rate will change on the date established by Agent
as the effective date of any change therein and Agent agrees to notify the
Company of any such change.

                  (2) Quoted Rate. At a fixed rate per annum to be quoted by
Agent in its sole discretion in each instance. Under this option, rates may be
fixed on such balances and for such periods, as may be agreeable to Agent in its
sole discretion in each instance, provided that: (1) the minimum fixed period
shall be 180 days; (2) amounts may be fixed in increments of $500,000.00 or
multiples thereof; and (3) the maximum number of fixes in place at any one time
shall be ten (10).

                  (3) LIBOR. At a fixed rate per annum equal to "LIBOR" (as
hereinafter defined) plus the Performance Pricing Adjustments, if any, set forth
in Section 5(A)(4) below. Under this option: (1) rates may be fixed for
"Interest Periods" (as hereinafter defined) of 1, 3, 6 or 9 months as selected
by the Company; (2) amounts may be fixed in increments of $500,000.00 or
multiples thereof; (3) the maximum number of fixes in place at any one time
shall be ten (10); and (4) rates may only be fixed on a "Banking Day" (as
hereinafter defined) on 3 Banking Days' prior written notice. For purposes
hereof: (a) "LIBOR" shall mean the rate (rounded upward to the nearest sixteenth
and adjusted for reserves required on "Eurocurrency Liabilities" (as hereinafter
defined) for banks subject to "FRB Regulation D" (as herein defined) or required
by any other federal law or regulation) quoted by the British Bankers
Association (the "BBA") at 11:00 a.m. London time 2 Banking Days before the
commencement of the Interest Period for the offering of U.S. dollar deposits in
the London interbank market for the Interest Period designated by the Company;
as published by Bloomberg or another major information vendor listed on BBA's
official website; (b) "Banking Day" shall mean a day on which Agent is open for
business, dealings in U.S. dollar deposits are being carried out in the London
interbank market, and banks are open for business in New York City and London,
England; (c) "Interest Period" shall mean a period commencing on the date this
option is to take effect and ending on the numerically corresponding day in the
next calendar month or the month that is 3, 6 or 9 months thereafter, as the
case may be; provided, however, that: (i) in the event such ending day is not a
Banking Day, such period shall be extended to the next Banking Day unless such
next Banking Day falls in the next calendar month, in which case it shall end on
the preceding Banking Day; and (ii) if there is no numerically corresponding day
in the month, then such period shall end on the last Banking Day in the relevant
month; (d) "Eurocurrency Liabilities"

<PAGE>

Construction and Term Loan Supplement RI0355T01                                3
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

shall have meaning as set forth in "FRB Regulation D"; and (e) "FRB Regulation
D" shall mean Regulation D as promulgated by the Board of Governors of the
Federal Reserve System, 12 CFR Part 204, as amended.

                  (4) Performance Pricing Adjustments. The interest rate spread
parameters set forth in Subsections (A)(1) and (3) above shall be either
increased or decreased in accordance with the following schedule:
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------
                      Total Equity/                Total Equity/                Total Equity/
                      Total Assets                 Total Assets                 Total Assets
                      Less than 0.50    Greater than 0.50 to Less than 0.60   Greater than 0.60
------------------------------------------------------------------------------------------------------
<S>                       <C>                          <C>                           <C>
 Agent Base Rate         +50 BP                       +25 BP                        +0 BP
------------------------------------------------------------------------------------------------------
 LIBOR                   +335 BP                      +310 BP                      +285 BP
------------------------------------------------------------------------------------------------------
</TABLE>

The applicable interest rate adjustment shall:
(i)   be considered as of each fiscal quarter end based on interim fmancial
      information provided by the Company within 20 working days of quarter end;
(ii)  become effective as of the first day of the month following receipt of
      such information by Agent, and
(iii) shall be effective on a prospective basis only and shall not affect
      existing fixed rate pricing.

The Company shall select the applicable rate option at the time it requests a
loan hereunder and may, subject to the limitations set forth above, elect to
convert balances bearing interest at the variable rate option to one of the
fixed rate options. Upon the expiration of any fixed rate period, interest shall
automatically accrue at the variable rate option unless the amount fixed is
repaid or fixed for an additional period in accordance with the terms hereof.
Notwithstanding the foregoing, rates may not be fixed in such a manner as to
cause the Company to have to break any fixed rate balance in order to pay any
installment of principal. All elections provided for herein shall be made
electronically (if applicable), telephonically or in writing and must be
received by Agent not later than 12:00 Noon Company's local time in order to be
considered to have been received on that day; provided, however, that in the
case of LIBOR rate loans, all such elections must be confirmed in writing upon
Agent's request. Interest shall be calculated on the actual number of days each
loan is outstanding on the basis of a year consisting of 360 days and shall be
payable monthly in arrears by the 20th day of the following month or on such
other day in such month as Agent shall require in a written notice to the
Company; provided, however, in the event the Company elects to fix all or a
portion of the indebtedness outstanding under the LIBOR interest rate option
above, at Agent's option upon written notice to the Company, interest shall be
payable at the maturity of the Interest Period and if the LIBOR interest rate
fix is for a period longer than 3 months, interest on that portion of the
indebtedness outstanding shall be payable quarterly in arrears on each
three-month anniversary of the commencement date of such Interest Period, and at
maturity.

         (B) Loan Origination Fee. In consideration of the Commitment, the
Company agrees to pay to Agent a loan origination fee in the amount of
$352,500.00 (less all payments already received by Agent) upon the execution
hereof.

         SECTION 6. Promissory Note. The Company promises to repay the loans as
follows: (i) in 24 equal, consecutive quarterly installments of $1,200,000.00
with the first such installment due on November 20, 2007, and the last such
installment due on August 20, 2013; and (ii) followed by a fmal installment in
an amount equal to the remaining unpaid principal balance of the loans on

<PAGE>

Construction and Term Loan Supplement RI0355T01                                4
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

November 20, 2013. If any installment due date is not a day on which Agent is
open for business, then such installment shall be due and payable on the next
day on which Agent is open for business. In addition to the above, the Company
promises to pay interest on the unpaid principal balance hereof at the times and
in accordance with the provisions set forth in Section 5 hereof.

In addition, for each fiscal year end, beginning with the fiscal year ending in
2007, the Company shall also, within ninety (90) days after the end of such
fiscal year, make a special payment of an amount equal to 65% of the "Free Cash
Flow" (as defined below) of the Company, such payment not to exceed
$2,000,000.00 in any fiscal year of the Company; provided, however, that: (i) if
such payment would result in a covenant default under this Supplement or the
MLA, the amount of the payment shall be reduced to an amount which would not
result in a covenant default; (ii) if such payment would result in a breakage of
a fixed interest rate, the applicable broken funding surcharges would still
apply; and (iii) the aggregate of such payments shall not exceed $8,000,000.00.
The term "Free Cash Flow" is defined as the Company's annual profit net of
taxes, plus the respective fiscal year's depreciation and amortization expense,
minus allowable capitalized expenditures for fixed assets during fiscal year
2008 and thereafter, allowed distributions to members/owners, and scheduled term
loan payments to Agent. This special payment shall be applied to the principal
installments in the inverse order of their maturity.

         SECTION 7. Prepayment. Subject to the broken funding surcharge
provision of the MLA, the Company may on one Business Day's prior written notice
prepay all or any portion of the loan(s). Unless otherwise agreed, all
prepayments will be applied to principal installments in the inverse order of
their maturity. However, in addition to the foregoing, prepayment of any Loan
balance due to refinancing, or refinancing of any =advanced Commitment, up to
and including January 1, 2009, will result in a 3% prepayment charge in addition
to any broken funding surcharges which may be applicable, based on the amounts
prepaid and on the total amount of the Commitments in effect at such time.

         SECTION 8. Security. Security is set forth in the MLA.

         SECTION 9. Additional Conditions Precedent.

              (A) Initial Advance. Agent's obligation to make the initial
advance is subject to the satisfaction of each of the following additional
conditions precedent on or before the date of such advance:

                  (1) List of Permits. Receipt by Agent of a detailed list of
all permits required for both the construction of the improvements and the
operation of the facility setting forth for each listed permit whether such
permit is required for commencement of construction or required for commencement
of operation, and identifying to Agent's satisfaction whether such permits have
been issued or can reasonably be expected to be issued.

                  (2) Construction Permits. Receipt by Agent of evidence of
issuance of all permits that are required to be obtained prior to the
commencement of construction of the improvements.

                  (3) Engineer's Certificate. Receipt by Agent of a report of
Agent's retained engineer (pursuant to the provisions of Section 14(D))
indicating that the current plans and specifications of the Improvements and the

<PAGE>

Construction and Term Loan Supplement RI0355T01                                5
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

related contracts establish that the finished project will have adequate natural
gas, electricity, water and waste water treatment to service the requirements of
the project.

         (B) Each Advance. Agent's obligation to make each advance hereunder,
including the initial advance, is subject to the satisfaction of each of the
following additional conditions precedent on or before the date of such advance:

                  (1) Request for Construction Loan Advance. That Agent receives
an executed request for construction loan advance from the Company in the form
of Exhibit A attached hereto (the "Request for Construction Loan Advance"),
together with all items called for therein.

                  (2) Construction Certificate. If an independent inspector has
been employed by Agent pursuant to Section 14(D), a certificate or report of
such inspector to the effect that the construction of the Improvements to the
date thereof has been performed in a good and workmanlike manner and in
accordance with the Plans, stating the estimated total cost of construction of
the Improvements, stating the percentage of in-place construction of the
Improvements, and stating that the remaining non-disbursed portion of the
Commitment is adequate to complete the construction of the Improvements.

         SECTION 10. Representations and Warranties. In addition to the
representations and warranties contained in the MLA, the Company represents and
warrants as follows:

         (A) Project Approvals; Consents; Compliance. The Company has obtained
all Project Approvals relating to the construction and operation of the
Improvements, except those the Company has disclosed to Agent in writing. All
such Project Approvals heretofore obtained remain in full force and effect and
the Company has no reason to believe that any such Project Approval not
heretofore obtained will not be obtained by the Company in the ordinary course
during or following completion of the construction of the Improvements. To the
extent that any Project Approval may terminate or become void or voidable or
terminable, upon any sale, transfer or other disposition of the Property or the
Improvements, including any transfer pursuant to foreclosure sale under the
Mortgage, the Company will cooperate with Agent to obtain any replacement
Project Approvals. No consent, permission, authorization, order, or license of
any governmental authority is necessary in connection with the execution,
delivery, performance, or enforcement of the loan documents to which the Company
is a party, except such as have been obtained and are in full force and effect.
The Company is in compliance in all material respects with all Project Approvals
having application to the Property or the Improvements except as the Company has
disclosed to Agent in writing. Without limiting the foregoing, there are no
unpaid or outstanding real estate or other taxes or assessments on or against
the Property or the Improvements or any part thereof (except only real estate
taxes not yet due and payable). The Company has received no notice nor has any
knowledge of any pending or contemplated assessments against the Property or the
Improvements which have not been disclosed to Agent in writing.

         (B) Environmental Compliance. Without limiting the provisions of the
MLA, all property owned or leased by the Company, including, without limitation,
the Property and the Improvements, and all operations conducted by it are in
compliance in all material respects with all Laws and all Project Approvals
relating to environmental protection, the failure to comply with which could
have a material adverse effect on the condition, fmancial or otherwise,

<PAGE>

Construction and Term Loan Supplement RI0355T01                                6
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

operations, properties, or business of the Company, or on the ability of the
Company to perform its obligations under the loan documents, except as the
Company has disclosed to Agent in writing.

         (C) Feasibility. Each of the Project Budget, the Project Schedule and
the Disbursement Schedule is realistic and feasible.

         SECTION 11. Affirmative Covenants. In addition to the affirmative
covenants contained in the MLA, the Company agrees to:

(A)      Reports and Notices. Furnish to Agent:

                  (1) Regulatory and Other Notices. Promptly after receipt
thereof, copies of any notices or other communications received from any
governmental authority with respect to the Property, the Improvements, or any
matter or proceeding the effect of which could have a material adverse effect on
the condition, fmancial or otherwise, operations, properties, or business of the
Company, or the ability of the Company to perform its obligations under the loan
documents.

                  (2) Notice of Nonpayment. Promptly after the filing or receipt
thereof, a description of or a copy of any lien filed by or any notice, whether
oral or written, from any laborer, contractor, subcontractor or materialman to
the effect that such laborer, contractor, subcontractor or materialman has not
been paid when due for any labor or materials furnished in connection with the
construction of the Improvements.

                  (3) Notice of Suspension of Work. Prompt notice of any
suspension in the construction of the Improvements, regardless of the cause
thereof, in excess of ten (10) days and a description of the cause for such
suspension.

         (B) Construction Liens. Pay or cause to be removed, within fifteen (15)
days after notice from Agent, any lien on the Improvements or Property,
provided, however, that Company shall have the right to contest in good faith
and with reasonable diligence the validity of any such lien or claim upon
furnishing to the appropriate title insurance company such security or indemnity
as it may require to induce said title insurance company to issue its title
insurance commitment or its mortgage title insurance policy insuring against all
such claims or liens, and provided further that Agent will not be required to
make any further advances of the proceeds of the Commitment until any mechanic's
lien claims shown by the title insurance company or interim binder have been so
insured against by the title insurance company.

         (C) Identity of Contractors, etc. Furnish to Agent from time to time on
request by Agent, in a form acceptable to Agent, correct lists of all
contractors, subcontractors and suppliers of labor and material supplied in
connection with construction of the Improvements and true and correct copies of
all executed contracts, subcontracts and supply contracts. Agent may contact any
contractor, subcontractor or supplier to verify any facts disclosed in the lists
and contracts. All contracts and subcontracts relating to construction of the
Improvements must contain provisions authorizing or not prohibiting the Company
to supply to Agent the listed information and copies of contracts or not
otherwise prohibiting any transfers.

<PAGE>

Construction and Term Loan Supplement RI0355T01                                7
Green Plains Renewable Energy,
Inc. Shenandoah, Iowa

         (D) Lien Waivers. Furnish to Agent, at any time and from time to time
upon the request of Agent, lien waivers bearing a then current date and prepared
on a form satisfactory to Agent from such contractor, subcontractor, or supplier
as Agent shall designate.

         (E) Operating Permits. Furnish to Agent, unless as otherwise consented
to in writing by Agent, as soon as possible but prior to the commencement of
operation of the constructed facility, evidence of the issuance of all necessary
permits for such operation.

         SECTION 12. Negative Covenants. In addition to the negative covenants
contained in the MLA, the Company will not:

         (A) Change Orders. Allow any substantial deviation, addition, extra, or
change order to the Plans, Project Budget or Project Schedule, the cost of which
in the aggregate exceeds $100,000.00, without Agent's prior written approval.
All requests for substantial changes shall be made using a Change Order Request
in the form of Exhibit B attached hereto. Agent will have a reasonable time to
evaluate any requests for its approval of any changes referred to in this
covenant, and will not be required to consider approving any changes unless all
other approvals that may be required have been obtained. Agent may approve or
disapprove changes in its discretion. All contracts and subcontracts relating to
the construction of the Improvements must contain provisions satisfactory to
Agent implementing the above provisions of this covenant. Company shall promptly
provide to Agent copies of all change orders that, pursuant to the above
described procedures, did not require Agent's prior written approval.

         (B) Materials. Purchase or install any materials, equipment, fixtures
or articles of personal property for the Improvements if such shall be covered
under any security agreement or other agreement where the seller reserves or
purports to reserve title or the right of removal or repossession, or the right
to consider them personal property after their incorporation in the
Improvements.

         SECTION 13. Casualties.

         (A) Right to Elect To Apply Proceeds. In case of material loss or
damage to the Property or to the Improvements by fire, by a taking by
condemnation for public use or the action of any governmental authority or
agency, or the transfer by private sale in lieu thereof, either temporarily or
permanently, or otherwise, if in the sole judgment of Agent there is reasonable
doubt as to Company's ability to complete construction of the Improvements on or
before May 1, 2007, by reason of such loss or damage or because of delays in
making settlements with governmental agencies or authorities or with insurers,
Agent may terminate its obligations to make advances hereunder and elect to
collect, retain and apply to the Commitment all proceeds of the taking or
insurance after deduction of all expense of collection and settlement, including
attorneys' and adjusters' fees and charges. In the event such proceeds are
insufficient to pay the Commitment in full, Agent may declare the balance
remaining unpaid on the Commitment to be due and payable forthwith and avail
itself on any of the remedies afforded thereby as in any case of default.

         (B) Election Not To Apply Proceeds. In case Agent does not elect to
apply such proceeds to the Commitment, Company will:

<PAGE>

Construction and Term Loan Supplement RI0355T01                                8
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

                  (1) Settle. Proceed with diligence to make settlement with the
governmental agencies or authorities or the insurers and cause the proceeds of
insurance to be paid to Company.

                  (2) Resume Construction. Promptly proceed with the resumption
of construction of the Improvements, including the repair of all damage
resulting from such fire or other cause and restoration to its former condition.

         (C) Use of Proceeds. All such proceeds shall be fully used before the
disbursement of any further proceeds of the Commitment.

         SECTION 14. Other Rights of Agent.

         (A) Right to Inspect. Agent or its agent may enter on the Property at
any time and inspect the Improvements. If the construction of the Improvements
is not reasonably satisfactory to Agent, Agent may reasonably and in good faith
stop the construction and order its replacement or the correction thereof or
additions thereto, whether or not said unsatisfactory construction has been
incorporated in the Improvements, and withhold all advances hereunder until such
construction is satisfactory to Agent. Such construction shall promptly be made
satisfactory to Agent.

         (B) Obligation of Agent. Neither Agent nor any inspector hired pursuant
to Subsection (D) below is obligated to construct or supervise construction of
the Improvements. Inspection by Agent or such inspector thereof is for the sole
purpose of protecting Agent's security and is not to be construed as a
representation that there will be compliance on anyone's part with the Plans or
that the construction will be free from faulty material or workmanship. Neither
Agent nor such inspector shall be liable to the Company or any other person
concerning the quality of construction of the Improvements or the absence
therefrom of defects. The Company will make or cause to be made such other
independent inspections as it may desire for its own protection.

         (C) Right to Complete Upon Event of Default. Upon any Event of Default
hereunder, Agent may complete construction of the Improvements, subject to
Agent's right at any time to discontinue any work without liability, and apply
the proceeds of the Commitment to such completion, and may demand such
additional sums from the Company as may be necessary to complete construction,
which sums the Company shall promptly pay to Agent. In connection with any
construction of the Improvements undertaken by Agent pursuant to this
Subsection, Agent may (i) enter upon the Property; (ii) employ existing
contractors, architects, engineers and subcontractors or terminate them and
employ others; (iii) make such addition, changes and corrections in the Plans as
shall, in the judgment of Agent, be necessary or desirable; (iv) take over and
use any personal property, materials, fixtures, machinery, or equipment of the
Company to be incorporated into or used in connection with the construction or
operation of the Improvements; (v) pay, settle, or compromise all existing or
future bills and claims which are or may be liens against the Property or the
Improvements; and (vi) take such other action, as Agent may in its sole
discretion determine, to complete the construction of the Improvements. The
Company shall be liable to Agent for all costs paid or incurred for construction
of the Improvements, and all payments made hereunder shall be deemed advances by
Agent, shall be evidenced by the Note and shall be secured by the Mortgage and
any other loan document securing the Commitment (including any amounts in excess
of the Commitment).

<PAGE>

Construction and Term Loan Supplement RI0355T01                                9
Green Plains Renewable Energy,
Inc. Shenandoah, Iowa

         (D) Right to Employ Independent Engineer. Agent reserves the right to
employ an independent construction engineer, among other things, to review the
Project Budget, the Project Schedule and the Plans, inspect all construction of
the Improvements and the periodic progress of the same, and review all Draw
Requests and change orders, the cost therefor to be the sole responsibility of
the Company and shall be paid by the Company upon demand by Agent.

         (E) Indemnification and Hold Harmless. The Company shall indemnify and
hold Farm Credit and Agent harmless from and against all liability, cost or
damage arising out of this Agreement or any other loan document or the
transactions contemplated hereby and thereby, including, without limitation, (i)
any alleged or actual violation of any Law or Project Approval relating to the
Property or the Improvements and (ii) any condition of the Property or the
Improvements whether relating to the quality of construction or otherwise and
whether Agent elects to complete construction upon an Event of Default or
discontinues or suspends construction pursuant to this Section 14. Agent may
commence, appear in or defend any such action or proceeding or any other action
or proceeding purporting to affect the rights, duties or liabilities of the
parties hereunder, or the Improvements, or the Property, or the payment of the
Commitment, and the Company agrees to pay all of Agent's costs and expenses,
including its reasonable attorneys' fees, in any such actions. The obligations
of the Company under this Subsection 14(E) shall survive the termination of this
Agreement. As to any action or inaction taken by Agent hereunder, Agent shall
not be liable for any error of judgment or mistake of fact or law, absent gross
negligence or willful misconduct on its part. The Company's obligation to
indemnify and hold Agent harmless hereunder will exclude any liability, cost, or
damage related to Agent's breach of this Agreement or for Agent's gross
negligence or willful misconduct.

         SECTION 15. Notice of Completion. Company irrevocably appoints Agent as
Company's agent to file of record any notice of completion, cessation of labor
or any other notice that Agent deems necessary to file to protect any of the
interests of Agent. Agent, however, shall have no duty to make such filing.

         SECTION 16. Signs and Publicity. At Farm Credit's and Agent's request,
Company will allow Farm Credit and Agent to post signs on the Property at the
construction site for the purpose of identifying Farm Credit and Agent as the
"Construction Lenders". At the request of Farm Credit and Agent, Company will
use its best efforts to identify Farm Credit and Agent as the construction
lenders in publicity concerning the project.

         SECTION 17. Cooperation. Company will cooperate at all times with Agent
in bringing about the timely completion of the Improvements, and Company will
resolve all disputes arising during the work of construction in a manner which
will allow work to proceed expeditiously.

         SECTION 18. Events of Default. In addition to the events of default set
forth in the MLA, each of the following shall constitute an "Event of Default"
hereunder:

         (A) Cessation of Construction. Any cessation at any time in the
construction of the Improvements for more than thirty (30) consecutive days,
except for strikes, acts of God, or other causes beyond the Company's control,
or any cessation at any time in construction of the Improvements for more than
thirty (30) consecutive days, regardless of the cause.

<PAGE>

Construction and Term Loan Supplement RI0355T01                               10
Green Plains Renewable Energy, Inc.
Shenandoah, Iowa

         (B) Insufficiency of Loan Proceeds. Agent, in its sole discretion shall
determine that the remaining undisbursed portion of the Commitment is or will be
insufficient to fully complete Improvements in accordance with the Plans.

FARM CREDIT SERVICES
OF AMERICA, FLCA                           GREEN PLAINS RENEWABLE ENERGY, INC.

By: /s/ Gary Mazour                        By: /s/ Barry A. Ellsworth
-----------------------                       ----------------------------------
Its: V.P.                                     Its: CEO & President

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