Exhibit 10.23
Loan No. RIB051S01
STATUSED REVOLVING CREDIT
SUPPLEMENT
THIS SUPPLEMENT
to the Master Loan Agreement dated
October 6, 2005, (the “MLA”), is entered into as of
October 6, 2005, between CoBANK, ACB (“CoBank”)
and SOUTH DAKOTA SOYBEAN PROCESSORS, LLC, Volga, South
Dakota (the “Company”), and amends and restates the
Supplement dated June 17, 2004, and numbered B051
501G.
SECTION 1. The Revolving Credit
Facility. On the terns
and conditions set forth in the MILA and this Supplement, CoBank
agrees to make loans to the Company during the period set forth
below in an aggregate principal amount not to exceed, at any one
time outstanding, the lesser of $16,000,000.00 (the
“Commitment”), or the “Borrowing Base” (as
calculated pursuant to the Borrowing Base Report attached hereto as
Exhibit A). Within the limits of the Commitment, the Company may
borrow, repay and reborrow.
SECTION 2. Purpose.
The purpose of the Commitment is to
finance the inventory and receivables referred to in the Borrowing
Base Report.
SECTION 3. Term.
The term of the Commitment shall be
from the date hereof, up to and including September 1, 2006, or
such later date as CoBank may, in its sole discretion, authorize in
writing.
SECTION 4. Interest.
The Company agrees to pay interest
on the unpaid balance of the loans in accordance with one or more
of the following interest rate options, as selected by the
Company:
(A)
Weekly Quoted Variable Rate. At a rate per annum equal at all times to the
rate of interest established by CoBank on the first Business Day of
each week. The rate established by CoBank shall be effective until
the first Business Day of the next week. Each change in the rate
shall be applicable to all balances subject to this option and
information about the then current rate shall be made available
upon telephonic request.
(B)
Quoted Rate. At a fixed
rate per annum to be quoted by CoBank 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 CoBank in its
sole discretion in each instance, provided that: (1) the minimum
fixed period shall be 30 days; (2) amounts maybe fixed in
increments of $100,000.00 or multiples thereof; and (3) the minimum
number of fixes in place at any one time shall be 5.
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 for periods expiring after the m
