Document:

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                                                                   Exhibit 10.18

(LOCAL CURRENCY--SINGLE JURISDICTION)

                                     ISDA(R)
                  International Swap Dealers Association, Inc.

                                MASTER AGREEMENT

                         Dated as of: DECEMBER 16, 2005

FIRST NATIONAL BANK OF OMAHA AND RED TRAIL ENERGY, LLC

have entered and/or anticipate entering into one or more transactions (each a
"Transaction") that are or will be governed by this Master Agreement, which
includes the schedule (the "Schedule"), and the documents and other confirming
evidence (each a "Confirmation") exchanged between the parties confirming those
Transactions.

Accordingly, the parties agree as follows:--

1.   INTERPRETATION

(a) DEFINITIONS. The terms defined in Section 12 and in the Schedule will have
the meanings therein specified for the purpose of this Master Agreement.

(b) INCONSISTENCY. In the event of any inconsistency between the provisions of
the Schedule and the other provisions of this Master Agreement, the Schedule
will prevail. In the event of any inconsistency between the provisions of any
Confirmation and this Master Agreement (including the Schedule), such
Confirmation will prevail for the purpose of the relevant Transaction.

(c) SINGLE AGREEMENT. All Transactions are entered into in reliance on the fact
that this Master Agreement and all Confirmations form a single agreement between
the parties (collectively referred to as this "Agreement"), and the parties
would not otherwise enter into any Transactions.

2.   OBLIGATIONS

(a) GENERAL CONDITIONS.

     (i) Each party will make each payment or delivery specified in each
     Confirmation to be made by it, subject to the other provisions of this
     Agreement.

     (ii) Payments under this Agreement will be made on the due date for value
     on that date in the place of the account specified in the relevant
     Confirmation or otherwise pursuant to this Agreement, in freely
     transferable funds and in the manner customary for payments in the required
     currency. Where settlement is by delivery (that is, other than by payment),
     such delivery will be made for receipt on the due date in the manner
     customary for the relevant obligation unless otherwise specified in the
     relevant Confirmation or elsewhere in this Agreement.

     (iii) Each obligation of each party under Section 2(a)(i) is subject to (1)
     the condition precedent that no Event of Default or Potential Event of
     Default with respect to the other party has occurred and is continuing, (2)
     the condition precedent that no Early Termination Date in respect of the
     relevant Transaction has occurred or been effectively designated and (3)
     each other applicable condition precedent specified in this Agreement.

       Copyright (C) 1992 by International Swap Dealers Association, Inc.

                                                                 Second Printing

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(b) CHANGE OF ACCOUNT. Either party may change its account for receiving a
payment or delivery by giving notice to the other party at least five Local
Business Days prior to the scheduled date for the payment or delivery to which
such change applies unless such other party gives timely notice of a reasonable
objection to such change.

(c) NETTING. If on any date amounts would otherwise be payable:--

     (i)  in the same currency; and

     (ii) in respect of the same Transaction

by each party to the other, then, on such date, each party's obligation to make
payment of any such amount will be automatically satisfied and discharged and,
if the aggregate amount that would otherwise have been payable by one party
exceeds the aggregate amount that would otherwise have been payable by the other
party, replaced by an obligation upon the party by whom the larger aggregate
amount would have been payable to pay to the other party the excess of the
larger aggregate amount over the smaller aggregate amount.

The parties may elect in respect of two or more Transactions that a net amount
will be determined in respect of all amounts payable on the same date in the
same currency in respect of such Transactions, regardless of whether such
amounts are payable in respect of the same Transaction. The election may be made
in the Schedule or a Confirmation by specifying that subparagraph (ii) above
will not apply to the Transactions identified as being subject to the election,
together with the starting date (in which case subparagraph (ii) above will not,
or will cease to, apply to such Transactions from such date). This election may
be made separately for different groups of Transactions and will apply
separately to each pairing of branches or offices through which the parties make
and receive payments or deliveries.

(d) DEFAULT INTEREST; OTHER AMOUNTS. Prior to the occurrence or effective
designation of an Early Termination Date in respect of the relevant Transaction,
a party that defaults in the performance of any payment obligation will, to the
extent permitted by law and subject to Section 6(c), be required to pay interest
(before as well as after judgment) on the overdue amount to the other party on
demand in the same currency as such overdue amount, for the period from (and
including) the original due date for payment to (but excluding) the date of
actual payment, at the Default Rate. Such interest will be calculated on the
basis of daily compounding and the actual number of days elapsed. If, prior to
the occurrence or effective designation of an Early Termination Date in respect
of the relevant Transaction, a party defaults in the performance of any
obligation required to be settled by delivery, it will compensate the other
party on demand if and to the extent provided for in the relevant Confirmation
or elsewhere in this Agreement.

3.   REPRESENTATIONS

Each party represents to the other party (which representations will be deemed
to be repeated by each party on each date on which a Transaction is entered
into) that:--

(a) BASIC REPRESENTATIONS.

     (i) STATUS. It is duly organised and validly existing under the laws of the
     jurisdiction of its organisation or incorporation and, if relevant under
     such laws, in good standing;

     (ii) POWERS. It has the power to execute this Agreement and any other
     documentation relating to this Agreement to which it is a party, to deliver
     this Agreement and any other documentation relating to this Agreement that
     it is required by this Agreement to deliver and to perform its obligations
     under this Agreement and any obligations it has under any Credit Support
     Document to which it is a party and has taken all necessary action to
     authorise such execution, delivery and performance;

     (iii) NO VIOLATION OR CONFLICT. Such execution, delivery and performance do
     not violate or conflict with any law applicable to it, any provision of its
     constitutional documents, any order or judgment of any court or other
     agency of government applicable to it or any of its assets or any
     contractual restriction binding on or affecting it or any of its assets;

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     (iv) CONSENTS. All governmental and other consents that are required to
     have been obtained by it with respect to this Agreement or any Credit
     Support Document to which it is a party have been obtained and are in full
     force and effect and all conditions of any such consents have been complied
     with; and

     (v) OBLIGATIONS BINDING. Its obligations under this Agreement and any
     Credit Support Document to which it is a party constitute its legal, valid
     and binding obligations, enforceable in accordance with their respective
     terms (subject to applicable bankruptcy, reorganisation, insolvency,
     moratorium or similar laws affecting creditors' rights generally and
     subject, as to enforceability, to equitable principles of general
     application (regardless of whether enforcement is sought in a proceeding in
     equity or at law)).

(b) ABSENCE OF CERTAIN EVENTS. No Event of Default or Potential Event of Default
or, to its knowledge, Termination Event with respect to it has occurred and is
continuing and no such event or circumstance would occur as a result of its
entering into or performing its obligations under this Agreement or any Credit
Support Document to which it is a party.

(c) ABSENCE OF LITIGATION. There is not pending or, to its knowledge, threatened
against it or any of its Affiliates any action, suit or proceeding at law or in
equity or before any court, tribunal, governmental body, agency or official or
any arbitrator that is likely to affect the legality, validity or enforceability
against it of this Agreement or any Credit Support Document to which it is a
party or its ability to perform its obligations under this Agreement or such
Credit Support Document.

(d) ACCURACY OF SPECIFIED INFORMATION. All applicable information that is
furnished in writing by or on behalf of it to the other party and is identified
for the purpose of this Section 3(d) in the Schedule is, as of the date of the
information, true, accurate and complete in every material respect.

4.   AGREEMENTS

Each party agrees with the other that, so long as either party has or may have
any obligation under this Agreement or under any Credit Support Document to
which it is a party:--

(a) FURNISH SPECIFIED INFORMATION. It will deliver to the other party any forms,
documents or certificates specified in the Schedule or any Confirmation by the
date specified in the Schedule or such Confirmation or, if none is specified, as
soon as reasonably practicable.

(b) MAINTAIN AUTHORISATIONS. It will use all reasonable efforts to maintain in
full force and effect all consents of any governmental or other authority that
are required to be obtained by it with respect to this Agreement or any Credit
Support Document to which it is a party and will use all reasonable efforts to
obtain any that may become necessary in the future.

(c) COMPLY WITH LAWS. It will comply in all material respects with all
applicable laws and orders to which it may be subject if failure so to comply
would materially impair its ability to perform its obligations under this
Agreement or any Credit Support Document to which it is a party.

5.   EVENTS OF DEFAULT AND TERMINATION EVENTS

(a) EVENTS OF DEFAULT. The occurrence at any time with respect to a party or, if
applicable, any Credit Support Provider of such party or any Specified Entity of
such party of any of the following events constitutes an event of default (an
"Event of Default") with respect to such party:--

     (i) FAILURE TO PAY OR DELIVER. Failure by the party to make, when due, any
     payment under this Agreement or delivery under Section 2(a)(i) or 2(d)
     required to be made by it if such failure is not remedied on or before the
     third Local Business Day after notice of such failure is given to the
     party;

     (ii) BREACH OF AGREEMENT. Failure by the party to comply with or perform
     any agreement or obligation (other than an obligation to make any payment
     under this Agreement or delivery under Section 2(a)(i) or 2(d) or to give
     notice of a Termination Event) to be complied with or performed

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     by the party in accordance with this Agreement if such failure is not
     remedied on or before the thirtieth day after notice of such failure is
     given to the party;

     (iii) CREDIT SUPPORT DEFAULT.

          (1) Failure by the party or any Credit Support Provider of such party
          to comply with or perform any agreement or obligation to be complied
          with or performed by it in accordance with any Credit Support Document
          if such failure is continuing after any applicable grace period has
          elapsed;

          (2) the expiration or termination of such Credit Support Document or
          the failing or ceasing of such Credit Support Document to be in full
          force and effect for the purpose of this Agreement (in either case
          other than in accordance with its terms) prior to the satisfaction of
          all obligations of such party under each Transaction to which such
          Credit Support Document relates without the written consent of the
          other party; or

          (3) the party or such Credit Support Provider disaffirms, disclaims,
          repudiates or rejects, in whole or in part, or challenges the validity
          of, such Credit Support Document;

     (iv) MISREPRESENTATION. A representation made or repeated or deemed to have
     been made or repeated by the party or any Credit Support Provider of such
     party in this Agreement or any Credit Support Document proves to have been
     incorrect or misleading in any material respect when made or repeated or
     deemed to have been made or repeated;

     (v) DEFAULT UNDER SPECIFIED TRANSACTION. The party, any Credit Support
     Provider of such party or any applicable Specified Entity of such party (1)
     defaults under a Specified Transaction and, after giving effect to any
     applicable notice requirement or grace period, there occurs a liquidation
     of, an acceleration of obligations under, or an early termination of, that
     Specified Transaction, (2) defaults, after giving effect to any applicable
     notice requirement or grace period, in making any payment or delivery due
     on the last payment, delivery or exchange date of, or any payment on early
     termination of, a Specified Transaction (or such default continues for at
     least three Local Business Days if there is no applicable notice
     requirement or grace period) or (3) disaffirms, disclaims, repudiates or
     rejects, in whole or in part, a Specified Transaction (or such action is
     taken by any person or entity appointed or empowered to operate it or act
     on its behalf);

     (vi) CROSS DEFAULT. If "Cross Default" is specified in the Schedule as
     applying to the party, the occurrence or existence of (1) a default, event
     of default or other similar condition or event (however described) in
     respect of such party, any Credit Support Provider of such party or any
     applicable Specified Entity of such party under one or more agreements or
     instruments relating to Specified Indebtedness of any of them (individually
     or collectively) in an aggregate amount of not less than the applicable
     Threshold Amount (as specified in the Schedule) which has resulted in such
     Specified Indebtedness becoming, or becoming capable at such time of being
     declared, due and payable under such agreements or instruments, before it
     would otherwise have been due and payable or (2) a default by such party,
     such Credit Support Provider or such Specified Entity (individually or
     collectively) in making one or more payments on the due date thereof in an
     aggregate amount of not less than the applicable Threshold Amount under
     such agreements or instruments (after giving effect to any applicable
     notice requirement or grace period);

     (vii) BANKRUPTCY. The party, any Credit Support Provider of such party or
     any applicable Specified Entity of such party:--

          (1) is dissolved (other than pursuant to a consolidation, amalgamation
          or merger); (2) becomes insolvent or is unable to pay its debts or
          fails or admits in writing its inability generally to pay its debts as
          they become due; (3) makes a general assignment, arrangement or
          composition with or for the benefit of its creditors; (4) institutes
          or has instituted against it a proceeding seeking a judgment of
          insolvency or bankruptcy or any other relief under any bankruptcy or
          insolvency law or other similar law affecting creditors' rights, or a
          petition is presented for its winding-up or liquidation, and, in the
          case of any such proceeding or petition instituted or presented
          against it, such proceeding or petition (A) results in a judgment of
          insolvency or bankruptcy or the entry of an order for relief or

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          the making of an order for its winding-up or liquidation or (B) is not
          dismissed, discharged, stayed or restrained in each case within 30
          days of the institution or presentation thereof; (5) has a resolution
          passed for its winding-up, official management or liquidation (other
          than pursuant to a consolidation, amalgamation or merger); (6) seeks
          or becomes subject to the appointment of an administrator, provisional
          liquidator, conservator, receiver, trustee, custodian or other similar
          official for it or for all or substantially all its assets; (7) has a
          secured party take possession of all or substantially all its assets
          or has a distress, execution, attachment, sequestration or other legal
          process levied, enforced or sued on or against all or substantially
          all its assets and such secured party maintains possession, or any
          such process is not dismissed, discharged, stayed or restrained, in
          each case within 30 days thereafter; (8) causes or is subject to any
          event with respect to it which, under the applicable laws of any
          jurisdiction, has an analogous effect to any of the events specified
          in clauses (1) to (7) (inclusive); or (9) takes any action in
          furtherance of, or indicating its consent to, approval of, or
          acquiescence in, any of the foregoing acts; or

     (viii) MERGER WITHOUT ASSUMPTION. The party or any Credit Support Provider
     of such party consolidates or amalgamates with, or merges with or into, or
     transfers all or substantially all its assets to, another entity and, at
     the time of such consolidation, amalgamation, merger or transfer:--

          (1) the resulting, surviving or transferee entity fails to assume all
          the obligations of such party or such Credit Support Provider under
          this Agreement or any Credit Support Document to which it or its
          predecessor was a party by operation of law or pursuant to an
          agreement reasonably satisfactory to the other party to this
          Agreement; or

          (2) the benefits of any Credit Support Document fail to extend
          (without the consent of the other party) to the performance by such
          resulting, surviving or transferee entity of its obligations under
          this Agreement.

(b) TERMINATION EVENTS. The occurrence at any time with respect to a party or,
if applicable, any Credit Support Provider of such party or any Specified Entity
of such party of any event specified below constitutes an illegality if the
event is specified in (i) below, and, if specified to be applicable, a Credit
Event Upon Merger if the event is specified pursuant to (ii) below or an
Additional Termination Event if the event is specified pursuant to (iii)
below:--

     (i) ILLEGALITY. Due to the adoption of, or any change in, any applicable
     law after the date on which a Transaction is entered into, or due to the
     promulgation of, or any change in, the interpretation by any court,
     tribunal or regulatory authority with competent jurisdiction of any
     applicable law after such date, it becomes unlawful (other than as a result
     of a breach by the party of Section 4(b)) for such party (which will be the
     Affected Party):--

          (1) to perform any absolute or contingent obligation to make a payment
          or delivery or to receive a payment or delivery in respect of such
          Transaction or to comply with any other material provision of this
          Agreement relating to such Transaction; or

          (2) to perform, or for any Credit Support Provider of such party to
          perform, any contingent or other obligation which the party (or such
          Credit Support Provider) has under any Credit Support Document
          relating to such Transaction;

     (ii) CREDIT EVENT UPON MERGER. If "Credit Event Upon Merger" is specified
     in the Schedule as applying to the party, such party ("X"), any Credit
     Support Provider of X or any applicable Specified Entity of X consolidates
     or amalgamates with, or merges with or into, or transfers all or
     substantially all its assets to, another entity and such action does not
     constitute an event described in Section 5(a)(viii) but the
     creditworthiness of the resulting, surviving or transferee entity is
     materially weaker than that of X, such Credit Support Provider or such
     Specified Entity, as the case may be, immediately prior to such action
     (and, in such event, X or its successor or transferee, as appropriate, will
     be the Affected Party); or

     (iii) ADDITIONAL TERMINATION EVENT. If any "Additional Termination Event"
     is specified in the Schedule or any Confirmation as applying, the
     occurrence of such event (and, in such event, the

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     Affected Party or Affected Parties shall be as specified for such
     Additional Termination Event in the Schedule or such Confirmation).

(c) EVENT OF DEFAULT AND ILLEGALITY. If an event or circumstance which would
otherwise constitute or give rise to an Event of Default also constitutes an
illegality, it will be treated as an illegality and will not constitute an Event
of Default.

6.   EARLY TERMINATION

(a) RIGHT TO TERMINATE FOLLOWING EVENT OF DEFAULT. If at any time an Event of
Default with respect to a party (the "Defaulting Party") has occurred and is
then continuing, the other party (the "Non-defaulting Party") may, by not more
than 20 days notice to the Defaulting Party specifying the relevant Event of
Default, designate a day not earlier than the day such notice is effective as an
Early Termination Date in respect of all outstanding Transactions. If, however,
"Automatic Early Termination" is specified in the Schedule as applying to a
party, then an Early Termination Date in respect of all outstanding Transactions
will occur immediately upon the occurrence with respect to such party of an
Event of Default specified in Section 5 (a)(vii)(1), (3), (5), (6) or, to the
extent analogous thereto, (8), and as of the time immediately preceding the
institution of the relevant proceeding or the presentation of the relevant
petition upon the occurrence with respect to such party of an Event of Default
specified in Section 5(a)(vii)(4) or, to the extent analogous thereto, (8).

(b) RIGHT TO TERMINATE FOLLOWING TERMINATION EVENT.

     (i) NOTICE. If a Termination Event occurs, an Affected Party will, promptly
     upon becoming aware of it, notify the other party, specifying the nature of
     that Termination Event and each Affected Transaction and will also give
     such other information about that Termination Event as the other party may
     reasonably require.

     (ii) TWO AFFECTED PARTIES. If an Illegality under Section 5(b)(i)(1) occurs
     and there are two Affected Parties, each party will use all reasonable
     efforts to reach agreement within 30 days after notice thereof is given
     under Section 6(b)(i) on action to avoid that Termination Event.

     (iii) RIGHT TO TERMINATE. If:--

          (1) an agreement under Section 6(b)(ii) has not been effected with
          respect to all Affected Transactions within 30 days after an Affected
          Party gives notice under Section 6(b)(i); or

          (2) an illegality other than that referred to in Section 6(b)(ii), a
          Credit Event Upon Merger or an Additional Termination Event occurs,

     either party in the case of an illegality, any Affected Party in the case
     of an Additional Termination Event if there is more than one Affected
     Party, or the party which is not the Affected Party in the case of a Credit
     Event Upon Merger or an Additional Termination Event if there is only one
     Affected Party may, by not more than 20 days notice to the other party and
     provided that the relevant Termination Event is then continuing, designate
     a day not earlier than the day such notice is effective as an Early
     Termination Date in respect of all Affected Transactions.

(c) EFFECT OF DESIGNATION.

     (i) If notice designating an Early Termination Date is given under Section
     6(a) or (b), the Early Termination Date will occur on the date so
     designated, whether or not the relevant Event of Default or Termination
     Event is then continuing.

     (ii) Upon the occurrence or effective designation of an Early Termination
     Date, no further payments or deliveries under Section 2(a)(i) or 2(d) in
     respect of the Terminated Transactions will be required to be made, but
     without prejudice to the other provisions of this Agreement. The amount, if
     any, payable in respect of an Early Termination Date shall be determined
     pursuant to Section 6(e).

(d) CALCULATIONS.

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     (i) STATEMENT. On or as soon as reasonably practicable following the
     occurrence of an Early Termination Date, each party will make the
     calculations on its part, if any, contemplated by Section 6(e) and will
     provide to the other party a statement (1) showing, in reasonable detail,
     such calculations (including all relevant quotations and specifying any
     amount payable under Section 6(e)) and (2) giving details of the relevant
     account to which any amount payable to it is to be paid. In the absence of
     written confirmation from the source of a quotation obtained in determining
     a Market Quotation, the records of the party obtaining such quotation will
     be conclusive evidence of the existence and accuracy of such quotation.

     (ii) PAYMENT DATE. An amount calculated as being due in respect of any
     Early Termination Date under Section 6(e) will be payable on the day that
     notice of the amount payable is effective (in the case of an Early
     Termination Date which is designated or occurs as a result of an Event of
     Default) and on the day which is two Local Business Days after the day on
     which notice of the amount payable is effective (in the case of an Early
     Termination Date which is designated as a result of a Termination Event).
     Such amount will be paid together with (to the extent permitted under
     applicable law) interest thereon (before as well as after judgment), from
     (and including) the relevant Early Termination Date to (but excluding) the
     date such amount is paid, at the Applicable Rate. Such interest will be
     calculated on the basis of daily compounding and the actual number of days
     elapsed.

(e) PAYMENTS ON EARLY TERMINATION. If an Early Termination Date occurs, the
following provisions shall apply based on the parties' election in the Schedule
of a payment measure, either "Market Quotation" or "Loss", and a payment method,
either the "First Method" or the "Second Method". If the parties fail to
designate a payment measure or payment method in the Schedule, it will be deemed
that "Market Quotation" or the "Second Method", as the case may be, shall apply.
The amount, if any, payable in respect of an Early Termination Date and
determined pursuant to this Section will be subject to any Set-off.

     (i)  EVENTS OF DEFAULT. If the Early Termination results from an Event of
          Default:--

          (1) First Method and Market Quotation. If the First Method and Market
          Quotation apply, the Defaulting Party will pay to the Non-defaulting
          Party the excess, if a positive number, of (A) the sum of the
          Settlement Amount (determined by the Non-defaulting Party) in respect
          of the Terminated Transactions and the Unpaid Amounts owing to the
          Non-defaulting Party over (B) the Unpaid Amounts owing to the
          Defaulting Party.

          (2) First Method and Loss. If the First Method and Loss apply, the
          Defaulting Party will pay to the Non-defaulting Party, if a positive
          number, the Non-defaulting Party's Loss in respect of this Agreement.

          (3) Second Method and Market Quotation. If the Second Method and
          Market Quotation apply, an amount will be payable equal to (A) the sum
          of the Settlement Amount (determined by the Non-defaulting Party) in
          respect of the Terminated Transactions and the Unpaid Amounts owing to
          the Non-defaulting Party less (B) the Unpaid Amounts owing to the
          Defaulting Party. If that amount is a positive number, the Defaulting
          Party will pay it to the Non-defaulting party; if it is a negative
          number, the Non-defaulting Party will pay the absolute value of that
          amount to the Defaulting Party.

          (4) Second Method and Loss. If the Second Method and Loss apply, an
          amount will be payable equal to the Non-defaulting Party's Loss in
          respect of this Agreement. If that amount is a positive number, the
          Defaulting Party will pay it to the Non-defaulting Party; if it is a
          negative number, the Non-defaulting Party will pay the absolute value
          of that amount to the Defaulting Party.

     (ii) TERMINATION EVENTS. If the Early Termination Date results from a
          Termination Event:--

          (1) One Affected Party. If there is one Affected Party, the amount
          payable will be determined in accordance with Section 6(e)(i)(3), if
          Market Quotation applies, or Section 6(e)(i)(4), if Loss applies,
          except that, in either case, references to the Defaulting Party and to
          the Non-defaulting Party will be deemed to be references to the
          Affected Party and the party which is not the Affected Party,
          respectively, and, if Loss applies and fewer than

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          all the Transactions are being terminated, Loss shall be calculated in
          respect of all Terminated Transactions.

          (2) Two Affected Parties. If there are two Affected Parties: --

               (A) If Market Quotation applies, each party will determine a
               Settlement Amount in respect of the Terminated Transactions, and
               an amount will be payable equal to (I) the sum of (a) one-half of
               the difference between the Settlement Amount of the party with
               the higher Settlement Amount ("X") and the Settlement Amount of
               the party with the lower Settlement Amount ("Y") and (b) the
               Unpaid Amounts owing to X less (II) the Unpaid Amounts owing to
               Y; and

               (B) If Loss applies, each party will determine its Loss in
               respect of this Agreement (or, if fewer than all the Transactions
               are being terminated, in respect of all Terminated Transactions)
               and an amount will be payable equal to one-half of the difference
               between the Loss of the party with the higher Loss ("X") and the
               Loss of the party with the lower Loss ("Y").

          If the amount payable is a positive number, Y will pay it to X; if it
          is a negative number, X will pay the absolute value of that amount to
          Y.

          (iii) ADJUSTMENT FOR BANKRUPTCY. In circumstances where an Early
          Termination Date occurs because "Automatic Early Termination" applies
          in respect of a party, the amount determined under this Section 6(e)
          will be subject to such adjustments as are appropriate and permitted
          by law to reflect any payments or deliveries made by one party to the
          other under this Agreement (and retained by such other party) during
          the period from the relevant Early Termination Date to the date for
          payment determined under Section 6(d)(ii).

          (iv) PRE-ESTIMATE. The parties agree that if Market Quotation applies
          an amount recoverable under this Section 6(e) is a reasonable
          pre-estimate of loss and not a penalty. Such amount is payable for the
          loss of bargain and the loss of protection against future risks and
          except as otherwise provided in this Agreement neither party will be
          entitled to recover any additional damages as a consequence of such
          losses.

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7.   TRANSFER

Neither this Agreement nor any interest or obligation in or under this Agreement
may be transferred (whether by way of security or otherwise) by either party
without the prior written consent of the other party, except that: --

(a) a party may make such a transfer of this Agreement pursuant to a
consolidation or amalgamation with, or merger with or into, or transfer of all
or substantially all its assets to, another entity (but without prejudice to any
other right or remedy under this Agreement); and

(b) a party may make such a transfer of all or any part of its interest in any
amount payable to it from a Defaulting Party under Section 6(e).

Any purported transfer that is not in compliance with this Section will be void.

8.   MISCELLANEOUS

(a) ENTIRE AGREEMENT. This Agreement constitutes the entire agreement and
understanding of the parties with respect to its subject matter and supersedes
all oral communication and prior writings with respect thereto.

(b) AMENDMENTS. No amendment, modification or waiver in respect of this
Agreement will be effective unless in writing (including a writing evidenced by
a facsimile transmission) and executed by each of the parties or confirmed by an
exchange of telexes or electronic messages on an electronic messaging system.

(c) SURVIVAL OF OBLIGATIONS. Without prejudice to Sections 2(a)(iii) and
6(c)(ii), the obligations of the parties under this Agreement will survive the
termination of any Transaction.

(d) REMEDIES CUMULATIVE. Except as provided in this Agreement, the rights,
powers, remedies and privileges provided in this Agreement are cumulative and
not exclusive of any rights, powers, remedies and privileges provided by law.

(e) COUNTERPARTS AND CONFIRMATIONS.

     (i) This Agreement (and each amendment, modification and waiver in respect
     of it) may be executed and delivered in counterparts (including by
     facsimile transmission), each of which will be deemed an original.

     (ii) The parties intend that they are legally bound by the terms of each
     Transaction from the moment they agree to those terms (whether orally or
     otherwise). A Confirmation shall be entered into as soon as practicable and
     may be executed and delivered in counterparts (including by facsimile
     transmission) or be created by an exchange of telexes or by an exchange of
     electronic messages on an electronic messaging system, which in each case
     will be sufficient for all purposes to evidence a binding supplement to
     this Agreement. The parties will specify therein or through another
     effective means that any such counterpart, telex or electronic message
     constitutes a Confirmation.

(f) NO WAIVER OF RIGHTS. A failure or delay in exercising any right, power or
privilege in respect of this Agreement will not be presumed to operate as a
waiver, and a single or partial exercise of any right, power or privilege will
not be presumed to preclude any subsequent or further exercise, of that right,
power or privilege or the exercise of any other right, power or privilege.

(g) HEADINGS. The headings used in this Agreement are for convenience of
reference only and are not to affect the construction of or to be taken into
consideration in interpreting this Agreement.

9.   EXPENSES

A Defaulting Party will, on demand, indemnify and hold harmless the other party
for and against all reasonable out-of-pocket expenses, including legal fees,
incurred by such other party by reason of the enforcement and protection of its
rights under this Agreement or any Credit Support Document to which

                                        9

<PAGE>

the Defaulting Party is a party or by reason of the early termination of any
Transaction, including, but not limited to, costs of collection.

10.  NOTICES

(A) EFFECTIVENESS. Any notice or other communication in respect of this
Agreement may be given in any manner set forth below (except that a notice or
other communication under Section 5 or 6 may not be given by facsimile
transmission or electronic messaging system) to the address or number or in
accordance with the electronic messaging system details provided (see the
Schedule) and will be deemed effective as indicated:--

     (i) if in writing and delivered in person or by courier, on the date it is
     delivered;

     (ii) if sent by telex, on the date the recipient's answerback is received;

     (iii) if sent by facsimile transmission, on the date that transmission is
     received by a responsible employee of the recipient in legible form (it
     being agreed that the burden of proving receipt will be on the sender and
     will not be met by a transmission report generated by the sender's
     facsimile machine);

     (iv) if sent by certified or registered mail (airmail, if overseas) or the
     equivalent (return receipt requested), on the date that mail is delivered
     or its delivery is attempted; or

     (v) if sent by electronic messaging system, on the date that electronic
     message is received,

unless the date of that delivery (or attempted delivery) or that receipt, as
applicable, is not a Local Business Day or that communication is delivered (or
attempted) or received, as applicable, after the close of business on a Local
Business Day, in which case that communication shall be deemed given and
effective on the first following day that is a Local Business Day.

(b) CHANGE OF ADDRESSES. Either party may by notice to the other change the
address, telex or facsimile number or electronic messaging system details at
which notices or other communications are to be given to it.

11.  GOVERNING LAW AND JURISDICTION

(a) GOVERNING LAW. This Agreement will be governed by and construed in
accordance with the law specified in the Schedule.

(b) JURISDICTION. With respect to any suit, action or proceedings relating to
this Agreement ("Proceedings"), each party irrevocably:--

     (i) submits to the jurisdiction of the English courts, if this Agreement is
     expressed to be governed by English law, or to the non-exclusive
     jurisdiction of the courts of the State of New York and the United States
     District Court located in the Borough of Manhattan in New York City, if
     this Agreement is expressed to be governed by the laws of the State of New
     York; and

     (ii) waives any objection which it may have at any time to the laying of
     venue of any Proceedings brought in any such court, waives any claim that
     such Proceedings have been brought in an inconvenient forum and further
     waives the right to object, with respect to such Proceedings, that such
     court does not have any jurisdiction over such party.

Nothing in this Agreement precludes either party from bringing Proceedings in
any other jurisdiction (outside, if this Agreement is expressed to be governed
by English law, the Contracting States, as defined in Section 1(3) of the Civil
Jurisdiction and Judgments Act 1982 or any modification, extension or
re-enactment thereof for the time being in force) nor will the bringing of
Proceedings in any one or more jurisdictions preclude the bringing of
Proceedings in any other jurisdiction.

(c) WAIVER OF IMMUNITIES. Each party irrevocably waives, to the fullest extent
permitted by applicable law, with respect to itself and its revenues and assets
(irrespective of their use or intended use), all immunity on the grounds of
sovereignty or other similar grounds from (i) suit, (ii) jurisdiction of

                                       10

<PAGE>

any court, (iii) relief by way of injunction, order for specific performance or
for recovery of property, (iv) attachment of its assets (whether before or after
judgment) and (v) execution or enforcement of any judgment to which it or its
revenues or assets might otherwise be entitled in any Proceedings in the courts
of any jurisdiction and irrevocably agrees, to the extent permitted by
applicable law, that it will not claim any such immunity in any Proceedings.

12.  DEFINITIONS

As used in this Agreement:--

"ADDITIONAL TERMINATION EVENT" has the meaning specified in Section 5(b).

"AFFECTED PARTY" has the meaning specified in Section 5(b).

"AFFECTED TRANSACTIONS" means (a) with respect to any Termination Event
consisting of an Illegality, all Transactions affected by the occurrence of such
Termination Event and (b) with respect to any other Termination Event, all
Transactions.

"AFFILIATE" means, subject to the Schedule, in relation to any person, any
entity controlled, directly or indirectly, by the person, any entity that
controls, directly or indirectly, the person or any entity directly or
indirectly under common control with the person. For this purpose, "control" of
any entity or person means ownership of a majority of the voting power of the
entity or person.

"APPLICABLE RATE" means:--

(a) in respect of obligations payable or deliverable (or which would have been
but for Section 2(a)(iii)) by a Defaulting Party, the Default Rate;

(b) in respect of an obligation to pay an amount under Section 6(e) of either
party from and after the date (determined in accordance with Section 6(d)(ii))
on which that amount is payable, the Default Rate;

(c) in respect of all other obligations payable or deliverable (or which would
have been but for Section 2(a)(iii)) by a Non-defaulting Party, the Non-default
Rate; and

(d) in all other cases, the Termination Rate.

"CONSENT" includes a consent, approval, action, authorisation, exemption,
notice, filing, registration or exchange control consent.

"CREDIT EVENT UPON MERGER" has the meaning specified in Section 5(b).

"CREDIT SUPPORT DOCUMENT" means any agreement or instrument that is specified as
such in this Agreement.

"CREDIT SUPPORT PROVIDER" has the meaning specified in the Schedule.

"DEFAULT RATE" means a rate per annum equal to the cost (without proof or
evidence of any actual cost) to the relevant payee (as certified by it) if it
were to fund or of funding the relevant amount plus 1% per annum.

"DEFAULTING PARTY" has the meaning specified in Section 6(a).

"EARLY TERMINATION DATE" means the date determined in accordance with Section
6(a) or 6(b)(iii).

"EVENT OF DEFAULT" has the meaning specified in Section 5(a) and, if applicable,
in the Schedule.

"ILLEGALITY" has the meaning specified in Section 5(b).

"LAW" includes any treaty, law, rule or regulation and "LAWFUL" and "UNLAWFUL"
will be construed accordingly.

                                       11

<PAGE>

"LOCAL BUSINESS DAY" means, subject to the Schedule, a day on which commercial
banks are open for business (including dealings in foreign exchange and foreign
currency deposits) (a) in relation to any obligation under Section 2(a)(i), in
the place(s) specified in the relevant Confirmation or, if not so specified, as
otherwise agreed by the parties in writing or determined pursuant to provisions
contained, or incorporated by reference, in this Agreement, (b) in relation to
any other payment, in the place where the relevant account is located, (c) in
relation to any notice or other communication, including notice contemplated
under Section 5(a)(i), in the city specified in the address for notice provided
by the recipient and, in the case of a notice contemplated by Section 2(b), in
the place where the relevant new account is to be located and (d) in relation to
Section 5(a)(v)(2), in the relevant locations for performance with respect to
such Specified Transaction.

"LOSS" means, with respect to this Agreement or one or more Terminated
Transactions, as the case may be, and a party, an amount that party reasonably
determines in good faith to be its total losses and costs (or gain, in which
case expressed as a negative number) in connection with this Agreement or that
Terminated Transaction or group of Terminated Transactions, as the case may be,
including any loss of bargain, cost of funding or, at the election of such party
but without duplication, loss or cost incurred as a result of its terminating,
liquidating, obtaining or reestablishing any hedge or related trading position
(or any gain resulting from any of them). Loss includes losses and costs (or
gains) in respect of any payment or delivery required to have been made
(assuming satisfaction of each applicable condition precedent) on or before the
relevant Early Termination Date and not made, except, so as to avoid
duplication, if Section 6(e)(i)(1) or (3) or 6(e)(ii)(2)(A) applies. Loss does
not include a party's legal fees and out-of-pocket expenses referred to under
Section 9. A party will determine its Loss as of the relevant Early Termination
Date, or, if that is not reasonably practicable, as of the earliest date
thereafter as is reasonably practicable. A party may (but need not) determine
its Loss by reference to quotations of relevant rates or prices from one or more
leading dealers in the relevant markets.

"MARKET QUOTATION" means, with respect to one or more Terminated Transactions
and a party making the determination, an amount determined on the basis of
quotations from Reference Market-makers. Each quotation will be for an amount,
if any, that would be paid to such party (expressed as a negative number) or by
such party (expressed as a positive number) in consideration of an agreement
between such party (taking into account any existing Credit Support Document
with respect to the obligations of such party) and the quoting Reference
Market-maker to enter into a transaction (the "Replacement Transaction") that
would have the effect of preserving for such party the economic equivalent of
any payment or delivery (whether the underlying obligation was absolute or
contingent and assuming the satisfaction of each applicable condition precedent)
by the parties under Section 2(a)(i) in respect of such Terminated Transaction
or group of Terminated Transactions that would, but for the occurrence of the
relevant Early Termination Date, have been required after that date. For this
purpose, Unpaid Amounts in respect of the Terminated Transaction or group of
Terminated Transactions are to be excluded but, without limitation, any payment
or delivery that would, but for the relevant Early Termination Date, have been
required (assuming satisfaction of each applicable condition precedent) after
that Early Termination Date is to be included. The Replacement Transaction would
be subject to such documentation as such party and the Reference Market-maker
may, in good faith, agree. The party making the determination (or its agent)
will request each Reference Market-maker to provide its quotation to the extent
reasonably practicable as of the same day and time (without regard to different
time zones) on or as soon as reasonably practicable after the relevant Early
Termination Date. The day and time as of which those quotations are to be
obtained will be selected in good faith by the party obliged to make a
determination under Section 6(e), and, if each party is so obliged, after
consultation with the other. If more than three quotations are provided, the
Market Quotation will be the arithmetic mean of the quotations, without regard
to the quotations having the highest and lowest values. If exactly three such
quotations are provided, the Market Quotation will be the quotation remaining
after disregarding the highest and lowest quotations. For this purpose, if more
than one quotation has the same highest value or lowest value, then one of such
quotations shall be disregarded. If fewer than three quotations are provided, it
will be deemed that the Market Quotation in respect of such Terminated
Transaction or group of Terminated Transactions cannot be determined.

"NON-DEFAULT RATE" means a rate per annum equal to the cost (without proof or
evidence of any actual cost) to the Non-defaulting Party (as certified by it) if
it were to fund the relevant amount.

"NON-DEFAULTING PARTY" has the meaning specified in Section 6(a).

                                       12

<PAGE>

"POTENTIAL EVENT OF DEFAULT" means any event which, with the giving of notice or
the lapse of time or both, would constitute an Event of Default.

"REFERENCE MARKET-MAKERS" means four leading dealers in the relevant market
selected by the party determining a Market Quotation in good faith (a) from
among dealers of the highest credit standing which satisfy all the criteria that
such party applies generally at the time in deciding whether to offer or to make
an extension of credit and (b) to the extent practicable, from among such
dealers having an office in the same city.

"SCHEDULED PAYMENT DATE" means a date on which a payment or delivery is to be
made under Section 2(a)(i) with respect to a Transaction.

"SET-OFF" means set-off, offset, combination of accounts, right of retention or
withholding or similar right or requirement to which the payer of an amount
under Section 6 is entitled or subject (whether arising under this Agreement,
another contract, applicable law or otherwise) that is exercised by, or imposed
on, such payer.

"SETTLEMENT AMOUNT" means, with respect to a party and any Early Termination
Date, the sum of:--

(a) the Market Quotations (whether positive or negative) for each Terminated
Transaction or group of Terminated Transactions for which a Market Quotation is
determined; and

(b) such party's Loss (whether positive or negative and without reference to any
Unpaid Amounts) for each Terminated Transaction or group of Terminated
Transactions for which a Market Quotation cannot be determined or would not (in
the reasonable belief of the party making the determination) produce a
commercially reasonable result.

"SPECIFIED ENTITY" has the meaning specified in the Schedule.

"SPECIFIED INDEBTEDNESS" means, subject to the Schedule, any obligation (whether
present or future, contingent or otherwise, as principal or surety or otherwise)
in respect of borrowed money.

"SPECIFIED TRANSACTION" means, subject to the Schedule, (a) any transaction
(including an agreement with respect thereto) now existing or hereafter entered
into between one party to this Agreement (or any Credit Support Provider of such
party or any applicable Specified Entity of such party) and the other party to
this Agreement (or any Credit Support Provider of such other party or any
applicable Specified Entity of such other party) which is a rate swap
transaction, basis swap, forward rate transaction, commodity swap, commodity
option, equity or equity index swap, equity or equity index option, bond option,
interest rate option, foreign exchange transaction, cap transaction, floor
transaction, collar transaction, currency swap transaction, cross-currency rate
swap transaction, currency option or any other similar transaction (including
any option with respect to any of these transactions), (b) any combination of
these transactions and (c) any other transaction identified as a Specified
Transaction in this Agreement or the relevant confirmation.

                                       13

<PAGE>

"TERMINATED TRANSACTIONS" means with respect to any Early Termination Date (a)
if resulting from a Termination Event, all Affected Transactions and (b) if
resulting from an Event of Default, all Transactions (in either case) in effect
immediately before the effectiveness of the notice designating that Early
Termination Date (or, if "Automatic Early Termination" applies, immediately
before that Early Termination Date).

"TERMINATION EVENT" means Illegality or, if specified to be applicable, a Credit
Event Upon Merger or an Additional Termination Event.

"TERMINATION RATE" means a rate per annum equal to the arithmetic mean of the
cost (without proof or evidence of any actual cost) to each party (as certified
by such party) if it were to fund or of funding such amounts.

"UNPAID AMOUNTS" owing to any party means, with respect to an Early Termination
Date, the aggregate of (a) in respect of all Terminated Transactions, the
amounts that became payable (or that would have become payable but for Section
2(a)(iii)) to such party under Section 2(a)(i) on or prior to such Early
Termination Date and which remain unpaid as at such Early Termination Date and
(b) in respect of each Terminated Transaction, for each obligation under Section
2(a)(i) which was (or would have been but for Section 2(a)(iii)) required to be
settled by delivery to such party on or prior to such Early Termination Date and
which has not been so settled as at such Early Termination Date, an amount equal
to the fair market value of that which was (or would have been) required to be
delivered as of the originally scheduled date for delivery, in each case
together with (to the extent permitted under applicable law) interest, in the
currency of such amounts, from (and including) the date such amounts or
obligations were or would have been required to have been paid or performed to
(but excluding) such Early Termination Date, at the Applicable Rate. Such
amounts of interest will be calculated on the basis of daily compounding and the
actual number of days elapsed. The fair market value of any obligation referred
to in clause (b) above shall be reasonably determined by the party obliged to
make the determination under Section 6(e) or, if each party is so obliged, it
shall be the average of the fair market values reasonably determined by both
parties.

IN WITNESS WHEREOF the parties have executed this document on the respective
dates specified below with effect from the date specified on the first page of
this document.

FIRST NATIONAL BANK OF OMAHA            RED TRAIL ENERGY, LLC
(Name of Party)                         (Name of Party)

By: /s/ NATALIE E. MASON                By: /s/ Ambrose R Hoff
    ---------------------------------       ------------------------------------
Name: NATALIE E. MASON                  Name: Ambrose R Hoff
Title: COMMERCIAL LOAN OFFICER          Title: President
Date: DECEMBER 16, 2005                 Date: 12-16-05

                                        By: /s/ William N. DuToit
                                            ------------------------------------
                                        Name: William N. DuToit
                                        Title: Treasurer
                                        Date: 12-16-05

                                                                    ISDA(R) 1992

                                       14

<PAGE>

                        SCHEDULE TO THE MASTER AGREEMENT

                          DATED AS OF DECEMBER 16, 2005

between FIRST NATIONAL BANK OF OMAHA and RED TRAIL ENERGY, LLC

               ("Party A")              ("Party B")

PART 1 TERMINATION PROVISIONS.

(a)  "SPECIFIED ENTITY" means in relation to Party A for the purpose of:

     Section 5(a)(v), None

     Section 5(a)(vi), None

     Section 5(a)(vii), None

     Section 5(b)(ii), None

     and in relation to Party B for the purpose of:

     Section 5(a)(v), Any current or future Affiliate of Party B

     Section 5(a)(vi), Any current or future Affiliate of Party B

     Section 5(a)(vii), Any current or future Affiliate of Party B

     Section 5(b)(ii), Any current or future Affiliate of Party B

(b)  "SPECIFIED TRANSACTION " will have the meaning specified in Section 12 of
     this Agreement.

(c)  The "CROSS DEFAULT" provisions of Section 5(a)(vi) will apply to Party B.

(d)  "SPECIFIED INDEBTEDNESS" will have the meaning specified in Section 12 of
     this Agreement.

(e)  "THRESHOLD AMOUNT" means $100,000.

(f)  The "CREDIT EVENT UPON MERGER" provisions of Section 5(b)(ii) will apply to
     Party B.

(g)  The "AUTOMATIC EARLY TERMINATION " provision of Section 6(a) will not apply
     to Party A or Party B.

(h)  PAYMENTS ON EARLY TERMINATION. For the purpose of Section 6(e) of this
     Agreement: The Second Method and Market Quotation will apply.

(i)  ADDITIONAL TERMINATION EVENT: For the purpose of Section 5(b)(iii) of this
     Agreement, it shall be an "Additional Termination Event" with Party B being
     the Affected Party if (i) the loan or other indebtedness in connection with
     which a Transaction is entered into by Party B for the purpose or with the
     effect of altering the net combined payment of Party B from a floating to
     fixed or a fixed to floating rate basis is repaid, whether upon
     acceleration of principal, at maturity, or otherwise, or for any other
     reason ceases to be an obligation of Party B, with or without the consent
     of Party A, or (ii) any Credit Support Document expires, terminates, or
     ceases to be in full force and effect for the purpose of this Agreement
     unless this Agreement is expressly amended in writing to reflect that it is
     no longer a Credit Support Document hereunder.

                                   Page 1 of 4

<PAGE>

PART 2. AGREEMENT TO DELIVER DOCUMENTS.

For the purpose of Section 4(a) of this Agreement, Party B agrees to deliver the
following documents:

(a)  A certificate of an authorized officer of Party B evidencing the necessary
     corporate authorizations, resolutions, and approvals with respect to the
     execution, delivery and performance of this Agreement, and certifying the
     names, true signatures, and authority of the officer(s) signing this
     Agreement and executing Transactions hereunder.

(b)  Quarterly and annual financial statements of Party B when requested by
     Party A.

(c)  IRS Form W-9 of Party B when requested by Party A.

PART 3. MISCELLANEOUS.

(A)  ADDRESSES FOR NOTICES: For the purpose of Section 10(a) of this Agreement

     Address for notices or communications to Party A:

     Address: 1620 Dodge Street - Mail Stop 1089 Omaha. NE 68197

     Attention: Justin Vossen - Investment Officer

     Facsimile No.: (402) 633-7499 Telephone No.: (402) 633-7489

     Address for notices or communications to Party B:

     Address:: PO Box 11, Richardton, ND 58652

     Attention: Ambrose Hoff

     Facsimile No.:701-974-3294 Telephone No.: _________________

(b)  CALCULATION AGENT. The Calculation Agent is Party A.

(c)  CREDIT SUPPORT DOCUMENT: In relation to Party B, means any guarantee,
     security agreement, or other document in effect from time to time that by
     its terms guarantees or otherwise supports the full and timely performance
     of Party B's obligations under this Agreement.

(d)  CREDIT SUPPORT PROVIDER: Any individual or entity named in a Credit Support
     Document who is securing Party B's full and timely performance of its
     obligations to Party A under such documents, including without limitation
     guarantors.

(e)  GOVERNING LAW. This Agreement will be governed by and construed in
     accordance with the laws of the State of New York without reference to
     choice of law doctrine.

(f)  DEFINITIONS. Section 12 is modified as follows:

     (i)  "Default Rate" means Party A's "National Base Rate" plus 6% per annum

                                   Page 2 of 4

<PAGE>

(g)  PAYMENTS.

          Party A will make payments to Party B by transfer to the account of
          Party B at First National Bank of Omaha (ACCOUNT NUMBER: 110193357).

          Party B will make payments to Party A by transfer from the account of
          Party B at First National Bank of Omaha (ACCOUNT NUMBER: 110193357)
          and Party A is irrevocably authorized to debit such account for each
          such payment (it being understood that Party B will at all times
          maintain sufficient balances in such account for such purposes).

Part 4. OTHER PROVISIONS.

(a)  ADDITIONAL REPRESENTATIONS. Party B represents to Party A (which
     representation will be deemed to be repeated by Party B on each date on
     which a Transaction is entered into) that it, or any Credit Support
     Provider, has: (A) if a corporation, partnership, proprietorship, limited
     liability company or trust, (1) total assets exceeding $10,000,000 or (2) a
     net worth exceeding $1,000,000 and is entering into the Transaction in
     connection with the conduct of its business or to manage the risk
     associated with an asset or liability owned or incurred in the conduct of
     its business, or (B) if an individual, total assets exceeding (1)
     $10,000,000 or (2) $5,000,000 and who is entering into the Transaction to
     manage the risk associated with an asset owned or liability incurred, or
     reasonably likely to be owned or incurred, by the individual.

(b)  EVENT OF DEFAULT. Each Party agrees to notify the other party of the
     occurrence of any Event of Default or Potential Event of Default
     immediately upon learning of the occurrence thereof.

(c)  DISCLAIMER. In entering into this Agreement, Party B understands that there
     is no assurance as to the direction in which interests rates in financial
     markets may move in the future and that Party A makes no covenant,
     representation, or warranty in this regard or in regard to the suitability
     of the terms of the Agreement or any Transaction to the particular needs
     and financial situation of Party B. Party B represents, which
     representation shall be deemed repeated with respect to and at the time of
     each Transaction, that (A) it has had the opportunity, independently of
     Party A and Party A's affiliates, officers, employees, and agents, to
     consult its own financial advisors and has determined that it is in Party
     B's interest to enter into the Agreement and any Transaction and (B) it is
     capable of assuming and assumes the risks of any Transaction. Party A is
     not acting as a fiduciary for or advisor to Party B in respect of any
     Transaction.

(d)  WAIVER OF JURY TRIAL. Each party hereby irrevocably waives, to the fullest
     extent permitted by applicable law, any and all rights it may have to trial
     by jury in respect of any proceedings arising out of or relating to this
     Agreement or any Transaction and acknowledges that it and the other party
     have been induced to enter into this Agreement by, among other things,
     these mutual waivers.

(e)  SET-OFF. The right to exercise a Set-off against any amount otherwise
     payable in respect of an Early Termination Date pursuant to Section 6(e)
     may be applied solely at the election of the Non-Defaulting Party in the
     case of an Event of Default, and by the party other than the Affected Party
     in the case of a Termination Event or Additional Termination Event, whether
     or not such party is the payer or payee of an amount determined pursuant to
     Section 6. If an obligation is unascertained, such party may in good faith
     estimate that obligation and exercise a Set-off in respect of the estimate,
     subject to the relevant party accounting to the other party when the
     obligation becomes ascertained.

                                   Page 3 of4

<PAGE>

(f)  JURISDICTION. Section 11 (b)(i) is modified to read:

     (i) submits to the jurisdiction of the jurisdiction of the courts of the
     State of Nebraska and the United States District Court located in Omaha,
     Nebraska

FIRST NATIONAL BANK OF OMAHA            RED TRAIL ENERGY, LLC

By: /s/ Natalie E. Mason                By: /s/ Ambrose R Hoff
    ---------------------------------       ------------------------------------
Name: Natalie E. Mason                  Name: Ambrose R Hoff
Title: Commercial Loan Officer          Title: President

                                        By: /s/ William N. DuToit
                                            ------------------------------------
                                        Name: William N. DuToit
                                        Title: Treasurer

                                   Page 4 of 4<PAGE>

                                                                   Exhibit 10.19

             SECURITY AGREEMENT & DEPOSIT ACCOUNT CONTROL AGREEMENT

     THIS AGREEMENT, made this 16th day of December, 2005, by and among FIRST
NATIONAL BANK OF OMAHA (hereinafter called "SECURED PARTY"), RED TRAIL ENERGY,
LLC, a North Dakota limited liability company (hereinafter called "DEBTOR"), and
BANK OF NORTH DAKOTA ("DEPOSITARY BANK"), a bank organized under the laws of
North Dakota, whose mailing address is P.O. Box 5509, Bismarck, ND 58506-5509.

                                   WITNESSETH:

     1. DEBTOR warrants that DEBTOR'S only place of business is the address
appearing following DEBTOR'S signatures. DEBTOR will promptly notify SECURED
PARTY, in writing, of any change in the location of any place of business, or
the establishment of any new place of business.

     2. For valuable consideration, receipt of which is hereby acknowledged,
DEBTOR hereby grants to the SECURED PARTY a security interest in the following
property (hereinafter called the "COLLATERAL").

          A. A certain deposit account numbered 4502569 in the name of DEBTOR,
     established at DEPOSITARY BANK on behalf of DEBTOR. DEBTOR agrees to
     maintain a minimum amount in the account of Two Hundred Fifty Thousand
     Dollars ($250,000.00) but said account balance shall not exceed Five
     Hundred Thousand Dollars ($500,000.00) at any time. If said account balance
     exceeds Five Hundred Thousand Dollars ($500,000.00), DEBTOR shall transfer
     the excess funds to an account established at the banking offices of
     SECURED PARTY.

          B. Each and every deposit account now or hereinafter identified to or
     becoming a part of the account hereinabove set out, and all monies or funds
     now or hereinafter identified to or becoming a part of said account above
     set out.

     3. The COLLATERAL secures several Promissory Notes dated December 16, 2005,
in the aggregate amount of Fifty Eight Million Seven Hundred Eleven Thousand
Seven Hundred Forty Dollars ($59,711,740.00), plus interest accruing thereon;
and all prior, contemporaneous and future debts owed to the SECURED PARTY by the
DEBTOR, whether originally owned or transferred to the SECURED PARTY.

     4. DEBTOR does hereby grant to the SECURED PARTY such control of the above
set out account and money which is a "deposit account" within the meaning of the
Nebraska Uniform Commercial Code Section 9-102(a)(29) and similar statutes which
may govern any aspect of this transaction.

<PAGE>

     5. DEBTOR may acquire assets to be identified to or become a part of the
above set out account. None of the COLLATERAL may be pledged or otherwise
hypothecated without the prior written consent of SECURED PARTY.

     6. The DEBTOR warrants that there are no adverse claims to the COLLATERAL.

     7. Hereinafter, DEPOSITARY BANK shall hold the account and any monies on
behalf of the SECURED PARTY, and such retention of possession thereof by
DEPOSITARY BANK shall constitute possession of the account by the SECURED PARTY.

     8. It is agreed and understood that DEPOSITARY BANK does not represent that
any valid security interest exists in the account and the assets in the account
and DEPOSITARY BANK shall have no ongoing responsibility for ensuring that a
valid security interest exists in favor of the SECURED PARTY.

     9. DEPOSITARY BANK shall send to SECURED PARTY at the following address
monthly statements of the above account: First National Bank of Omaha, 1620
Dodge St. STOP 1050, Omaha, NE 68197-1050, Attention: Natalie E. Mason.

     10. REMEDIES. If total or partial default is made in the payment at
maturity of any sum (principal or interest), at any time secured hereby, or if
default is made in the performance of any obligation imposed upon the DEBTOR
hereunder, or by any document, instrument or thing executed by the DEBTOR in
connection with any debt or obligation secured hereby, or hereafter secured
hereby; or if any of the representations or warranties of the DEBTOR made in
connection with this transaction shall prove false; or if any proceeding is
instituted by or against the DEBTOR under provisions of the Bankruptcy Code, or
any other insolvency law; or if the SECURED PARTY shall reasonably at any time
deem its rights hereunder insecure, then, in any of such events, the holder of
this security interest may, at its option, declare the entire indebtedness
secured hereby (with all interest secured hereunder) to be immediately due and
payable. In such event, DEPOSITARY BANK, upon written notice from the SECURED
PARTY of the default and of the amount of debt in default, shall immediately
proceed to relinquish all monies in or identified to the account and pay the
amount of the debt to the SECURED PARTY. In such an event, the SECURED PARTY may
also enforce all remedies available to it afforded under the Uniform Commercial
Code, or otherwise authorized by law, or at equity, or given in this instrument,
or any other document, instrument or thing executed by the DEBTOR in connection
with any debt or obligation secured hereby or hereinafter secured hereby. Such
remedies may be pursued contemporaneously, or otherwise.

     11. All rights of the SECURED PARTY will inure to the benefit of its
successors and assigns.

     SIGNED IN TRIPLICATE and delivered on the date first above written, the
DEBTOR hereby acknowledging receipt of a copy of this Agreement.

                                       -2-

<PAGE>

SECURED PARTY: First National Bank of Omaha

By: /s/ Natalie E. Mason
    ---------------------------------
Its Commercial Loan Officer
DEBTOR: Red Trail Energy, LLC

By: /s/ Ambrose R. Hoff
    ---------------------------------
Its President

And

By: /s/ William DuToit
    ---------------------------------
Its Treasurer

DEBTOR's Address: Red Trail Energy, LLC
                  P.O. Box 11
                  Richardton, North Dakota 58652
                  Attention: Ambrose Hoff

DEPOSITARY BANK: Bank of North Dakota

BY: /s/ Dale Eberle
    ---------------------------------
Its SVP & Cashier

                          ACKNOWLEDGMENT AND AGREEMENT

     THE UNDERSIGNED, Bank of North Dakota, does hereby acknowledge receipt of
an executed copy of the above and foregoing Security Agreement, and does hereby
agree to be bound by the agreement and does adopt and publish to the SECURED
PARTY the warranties provided therein.

     EXECUTED the 16th day of December, 2005.

                                        BANK OF NORTH DAKOTA

                                        By: /s/ Dale Eberle
                                            ------------------------------------
                                        Its SVP & Cashier

ATTEST:

/s/ Lynda Doll
-------------------------------------

                                       -3-

<PAGE>

RED TRAIL ENERGY, LLC

12/14/2005

BANK OF NORTH DAKOTA DEPOSITS

<TABLE>
<S>                     <C>          <C>              <C>                         <C>
                         5/12/2004   $   531,000.00
                         5/20/2004   $   731,000.00
                         5/26/2004   $   645,700.00
                          6/2/2004   $   780,000.00
                          6/3/2004   $   275,500.00
                         6/10/2004   $   566,000.00
                         6/22/2004   $ 1,821,000.00
                          7/2/2004   $ 1,437,000.00
                          7/9/2004   $   700,000.00
                         7/27/2004   $ 1,060,000.00
                          8/5/2004   $   915,000.00
                         8/18/2004   $   599,764.00
                          9/7/2004   $   479,963.00
                        10/12/2004   $   590,000.00
                        10/27/2004   $   485,559.00
                         11/9/2004   $   900,000.00
                         12/6/2004   $ 1,422,000.00
                        12/16/2004   $   672,800.00
                        12/22/2004   $   390,000.00
                        12/28/2004   $   770,150.00
                          1/4/2005   $   775,909.00
                          1/6/2005   $   905,200.00
                          2/1/2005   $ 1,114,278.00
                         2/10/2005   $   781,100.00
                         2/25/2005   $ 1,203,000.00
                          3/9/2005   $ 1,523,145.58
                         3/14/2005   $   856,500.00
                         3/29/2005   $ 1,599,506.00
                         3/30/2005   $   830,377.12
                          4/4/2005   $   712,000.00
                         4/12/2005   $   601,713.28
                         4/25/2005   $   512,589.26
                          6/3/2005   $   130,000.00
                         6/16/2005   $   145,000.00
                         7/15/2005   $   383,500.00
                          8/4/2005   $    50,000.00
                         8/18/2005   $   128,412,00
                         9/21/2005   $   625,143,00
                         9/28/2005   $   893,500,00
                         11/2/2005   $   166,956.00
                        11/10/2005   $   134,400.00
                        11/29/2005   $    50,000.00   DL's Quoted Total 12/9/05   Variance
                         12/9/2005   $    55,000.00
                                     --------------
                                     $29,949,665.24   $29,859,665.24              $90,000.00
Refund 2/4/05 (Death)                   ($30,000.00)
Bad Check                               ($60,000.00)
                                     --------------
Total Equity                         $29,859,665.24
</TABLE>

<PAGE>

<TABLE>
<S>                     <C>          <C>              <C>              <C>
BND INTEREST
                         5/31/2004   $       363.71
                         6/30/2004   $     1,869.69
                         7/31/2004   $     3,863.11
                         8/31/2004   $     5,668.74
                         9/30/2004   $     6,195.26
                        10/31/2004   $     7,425.67
                        11/30/2004   $     8,062.22
                        12/31/2004   $    13,555.69
                         1/31/2005   $    17,741.23
                         2/28/2005   $    19,208.90
                         3/31/2005   $    26,612.69
                         4/30/2005   $    30,469.85
                         5/31/2005   $    32,314.78
                         6/30/2005   $    31,309.82
                         7/31/2005   $    36,483.67
                         8/31/2005   $     4,162.44
                         9/30/2005   $       576.16
                        10/31/2005   $     1,651.86
                         11/4/2005   $       236.78
                        11/30/2005   $       848.17
                                     --------------
                                     $   248,620.44

FN CAPITAL MARKETS INTEREST
                         8/31/2005   $    48,751.47
                         9/15/2005   $    26,541.67
                         9/30/2005   $    65,369.22
                        10/31/2005   $    81,788.26
                        11/30/2005   $    86,257.90
                                     --------------
                                     $   308,708.52   Total Interest   $557,328.96
SEED CAPITAL - BREMER BANK
                                     $ 1,200,000.00   Confirmed by Bremer Bank Statements

GRANT FUNDS (EXPECTING $500M TOTAL: $350M FOR LIGNITE GRANT, WILL BE RECEIVED AFTER RECEIPT OF $:
                          1/9/2004   $   100,000.00   Confirmed by Bremer Bank Statements - Ag Products Utili
                          2/7/2005   $    50,000.00   Confirmed by Bremer Bank Statements - Ag Products Utili
                                     --------------
                                     $   150,000.00
                                     $   350,000.00   Remaining Grant Funds - Comes in After $2.7MM State
                                     --------------
                                     $   500,000.00

EQUITY RECEIVABLE       12/13/2005 All Checks in the Bank of North Dakota by January 15, 20
State Money                          $ 2,700,000.00
Bachmeier Farms                      $ 1,000,000.00
Mike Appert                          $   720,000.00
Bachmeier Farms                      $   215,000.00
Burton Hoovestol                     $   400,000.00
Ron Heller                           $    10,000.00
Roger Hoovestol                      $    30,000.00
DeEII Hoff                           $    10,000.00
</TABLE>

<PAGE>

<TABLE>
<S>                     <C>          <C>              <C>              <C>
Gross Family Farms                   $   200,000.00
Gene Rudolph                         $    20,000.00
Karen Saxosky                        $     7,202.57
Shawn Franek                         $    10,000.00
                                     --------------
                                     $ 5,322,202.57
                                     --------------
TOTAL EQUITY & GRANTS                $37,439,196.77
                                     ==============
SUB DEBT                             $ 5,525,000.00   ICM, Greenway & Fagen
EQUITY & SUB-DEBT                    $42,964,196.77   44%
SENIOR DEBT                          $55,211,740.00
                                     --------------
TOTAL PROJECT COST                   $98,175,936.77
                                     ==============
</TABLE>

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00105-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00105-of-00352.parquet"}]]