SEVENTH AMENDMENT TO CONSTRUCTION AND TERM LOAN AGREEMENT

Exhibit 4(a)

SEVENTH AMENDMENT TO CONSTRUCTION AND TERM

LOAN AGREEMENT  

THIS SEVENTH AMENDMENT TO CONSTRUCTION AND TERM LOAN AGREEMENT (this " Amendment "), dated as of September 4, 2009, is executed by and among LEVELLAND/HOCKLEY COUNTY ETHANOL, LLC, a Texas limited liability company (the " Borrower "), each of the Lenders or other lending institutions which is a signatory hereto or any successor or assignee thereof, and GE BUSINESS FINANCIAL SERVICES INC. (in its capacity as administrative agent for the Lenders, together with its successors in such capacity, the " Administrative Agent ").

R E C I T A L S:

A.           The Borrower, the Lenders, and the Administrative Agent are parties to that certain Construction and Term Loan Agreement, dated as of September 27, 2006, as amended by (a) that certain First Amendment to Construction and Term Loan Agreement and other Loan Documents dated as of August 10, 2007, (b) that certain Second Amendment to Construction and Term Loan Agreement dated as of February 15, 2008, (c) that certain Third Amendment to Construction and Term Loan Agreement dated as of February 19, 2008, (d) that certain Fourth Amendment to Construction and Term Loan Agreement dated as of May 31, 2008, (e) that certain Fifth Amendment to Construction and Term Loan Agreement dated as of May 31, 2008, and (f) that certain Sixth Amendment to Construction and Term Loan Agreement dated as of January 29, 2009 (as has been and may be amended, modified, supplemented or restated from time to time, the " Loan Agreement ").

B.           The Borrower, the Administrative Agent and the Required Lenders desire to amend the Loan Agreement and agree to the other matters as described herein, subject to the terms and conditions contained herein.

NOW, THEREFORE, in consideration of the premises herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows intending to be legally bound:

ARTICLE I

Definitions

Section 1.1         Definitions . Capitalized terms used in this Amendment, to the extent not otherwise defined herein, shall have the same meanings as in the Loan Agreement, as amended hereby.

ARTICLE II

Amendments and Agreements

Section 2.1        Amendment to "Calculation Start Date" Definition . The definition of "Calculation Start Date" found in Section 1.1 of the Loan Agreement is amended and restated in its entirety to read as follows:

" Calculation Start Date " means July 1, 2009.

Section 2.2        EBITDAR Coverage Ratio . Section 6.10(a) of the Loan Agreement is amended by adding the following sentence thereto:

For clarity and avoidance of doubt, prior to the end of the Borrower's second quarter in fiscal year 2010, the term "annualized" means for the third quarter of fiscal year 2009, the applicable financial information for such quarter times four; for the fourth quarter of fiscal year 2009, the applicable financial information for such quarter and for the prior quarter times two; and for the first quarter of fiscal year 2010, the applicable financial information for such quarter and the two prior quarters times 1.33.

Section 2.3        Leverage Ratio . Section 6.10(b) of the Loan Agreement is hereby amended and restated in its entirety to read as follows:

"(b)         Leverage Ratio . Beginning April 1, 2010, and at all times thereafter, Borrower's Leverage Ratio shall be equal to or less than the ratio set forth below that corresponds to the applicable period of the calculation:

Section 2.4         Waiver of Certain Financial Covenant Defaults . Administrative Agent and Lenders hereby waive any Default by Borrower of Borrower's covenants set forth in Section 6.10(a) of the Loan Agreement that occurred prior to the Calculation Start Date.

Section 2.5         Amendment Fee . In consideration of the execution of this Amendment, Borrower irrevocably and unconditionally agrees to pay to Administrative Agent, for the benefit of the Lenders, a fee in the amount of $20,000.00.

Section 2.6         Expenses . Without limiting anything contained in the Loan Documents, Borrower acknowledges and agrees that Borrower shall pay, as a condition to this Amendment, all reasonable third-party costs and expenses of Administrative Agent and the Lenders, including without limitation reasonable attorneys' fees, in connection with preparing, negotiating, and executing this Amendment.

ARTICLE III

Conditions Precedent

Section 3.1        Condition . The effectiveness of this Amendment is subject to the satisfaction of the following conditions precedent:

(a)           Amendment; Amendment Fee; Expenses . The Administrative Agent shall have received this Amendment executed by the Borrower, the Administrative Agent and the Required Lenders, and Administrative Agent shall have received payment of the fees and expenses provided for in Sections 2.5 and 2.6 above.

(b)           Default . Upon giving effect to this Amendment, no Default shall have occurred and be continuing.

(c)           Representations and Warranties . All of the representations and warranties contai