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Commitments and Major Customer and Subsequent Event
12 Months Ended
Sep. 30, 2013
Commitments and Major Customer [Abstract]  
Commitments and Major Customer and Subsequent Event
Commitments and Major Customers and Subsequent Event
 
On January 1, 2013 the Company entered into an agreement with an unrelated entity for marketing, selling and distributing all of the ethanol produced by the Company. Revenues with this customer were $99,214,531, none and none for the years ended September 30, 2013, 2012 and 2011. Trade accounts receivable of $3,413,190 and none was due from the customer as of September 30, 2013 and 2012, respectively. As of September 30, 2013, the Company has ethanol sales commitments with the unrelated entity of 14,273,500 gallons through March 2014. The sales price is approximately 8 cents under the monthly average OPIS-Chicago index price.

The Company had an agreement with an unrelated entity for marketing, selling and distributing all of the ethanol produced by the Company. This agreement ended December 31, 2012. Revenues with this customer were $34,012,975, $126,439,534 and $139,535,766 for the years ended September 30, 2013, 2012 and 2011, respectively.  Trade accounts receivable of none and $6,778,356 was due from the customer as of September 30, 2013 and 2012 respectively.  

 The Company has entered into an agreement with an unrelated entity for marketing, selling and distributing the distiller’s grain as of October 1, 2007.  Revenues with this customer were $45,047,371, $38,564,213 and $31,715,564 for the years ended September 30, 2013, 2012 and 2011, respectively.  Trade accounts receivable of $1,435,105 and $2,064,496 was due from the customer as of September 30, 2013 and 2012, respectively.  As of September 30, 2013, the Company has distiller’s grain sales commitments with the unrelated entity of approximately 52,590 tons for a total sales commitment of approximately $9,845,000 less marketing fees. Subsequent to year end, the Company and unrelated party mutually agreed to terminate the distiller's grain marketing agreement effective December 31, 2013.

The Company entered into an agreement on January 1, 2013 with an unrelated party to provide the coal supply for the ethanol plant. The agreement expires on January 1, 2015. The agreement is subject to a minimum purchase requirement. For the calendar year 2013 there is no outstanding commitment. For the calendar year 2014 the estimated purchase commitment totals $2,190,720. For the years ended September 30, 2013, 2012 and 2011, the Company has purchased coal of $7,720,923, $7,217,257 and $7,001,676 respectively.

The Company has entered into a variable contract with a supplier of denaturant.  The variable contract is for a minimum purchase of 90,000 gallons at the average of the OPIS Conway In-Well Natural Gas price plus a specified basis per gallon. The term of the contract is from October 1, 2013 through October 31, 2013.   The estimated future purchase commitment on this contract is approximately $196,470.

As of September 30, 2013, the Company had purchase commitments for corn cash forward contracts with various unrelated parties, at a corn commitment total of approximately, $1,130,625. These contracts mature at various dates through March 2014.

On April 17, 2013, the Company entered into a Main Extension and Gas Transportation Agreement with an unrelated party. The agreement is part of the Company's long-term plan to convert the energy source for its ethanol plant from coal to natural gas. The unrelated party will construct and own a pipeline that will be utilized to transport natural gas to the Company's ethanol plant. The total estimated cost of the construction of the gas pipeline to the Company is $3.6 million. The Company will pay that amount to the unrelated party through a monthly fee that is payable over a 10 year term of the Agreement. Completion of the pipeline is estimated to be the first quarter of calendar year 2015.

The Company also assigned a $3.1 million irrevocable standby letter of credit to the unrelated party to stand as security for the Company's obligation under the Agreement. The letter of credit will be reduced over time as the Company makes it payment under the Agreement.