Cardinal Ethanol (CRDE) 10-Q 8 Aug 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Jun. 30, 2016	Aug. 08, 2016
Entity Information [Line Items]
Entity Registrant Name	Cardinal Ethanol LLC
Entity Central Index Key	1,352,081
Current Fiscal Year End Date	--09-30
Entity Filer Category	Non-accelerated Filer
Document Type	10-Q
Document Period End Date	Jun. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Amendment Flag	false
Entity Common Stock, Shares Outstanding		14,606

Balance Sheets

Balance Sheets - USD ($)	Jun. 30, 2016	Sep. 30, 2015
Current Assets
Cash	$ 9,416,718	$ 20,827,614
Restricted cash	161,030	1,211,476
Trade accounts receivable	10,360,922	11,962,357
Miscellaneous receivables	265,060	384,705
Inventories	22,443,236	13,754,452
Prepaid and other current assets	397,519	506,197
Commodity derivative instruments	2,370,594	0
Total current assets	45,415,079	48,646,801
Property, Plant, and Equipment
Property, plant, and equipment, net	106,535,780	107,998,425
Other Assets
Investment	938,251	823,494
Total other assets	938,251	823,494
Total Assets	152,889,110	157,468,720
Current Liabilities
Accounts payable	3,270,168	3,616,302
Accounts payable- corn	5,227,312	6,757,174
Accrued expenses	801,786	1,555,286
Commodity derivative instruments	225,025	68,479
Current maturities of long-term debt	1,330,417	0
Total current liabilities	10,854,708	11,997,241
Long-Term Debt	10,051,783	4,865,236
Commitments and Contingencies
Members’ Equity
Members' contributions, net of cost of raising capital,14,606 units authorized, issued and outstanding	70,912,213	70,912,213
Retained earnings	61,070,406	69,694,030
Total members' equity	131,982,619	140,606,243
Total Liabilities and Members’ Equity	$ 152,889,110	$ 157,468,720

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - shares	Jun. 30, 2016	Sep. 30, 2015
Members' contributions, units issued and outstanding	14,606	14,606

Condensed Statements of Operati

Condensed Statements of Operations and Comprehensive Income (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Revenues	$ 53,951,547	$ 53,978,969	$ 163,086,506	$ 179,781,777
Cost of Goods Sold	49,487,044	47,719,837	152,481,876	146,855,644
Gross Profit	4,464,503	6,259,132	10,604,630	32,926,133
Operating Expenses	1,226,744	1,139,587	4,082,555	3,641,614
Operating Income	3,237,759	5,119,545	6,522,075	29,284,519
Other Income (Expense)
Interest income	0	0	250	0
Interest expense	0	0	(143,567)	0
Miscellaneous income	16,490	3,021	41,799	29,702
Total	16,490	3,021	(101,518)	29,702
Net Income	$ 3,254,249	$ 5,122,566	$ 6,420,557	$ 29,314,221
Weight Average Units Outstanding - basic and diluted	14,606	14,606	14,606	14,606
Net Income Per Unit - basic and diluted	$ 223	$ 351	$ 440	$ 2,007
Distributions Per Unit	$ 230	$ 600	$ 1,030	$ 3,300

Statements of Cash Flows (Unaud

Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash Flows from Operating Activities
Net Income	$ 6,420,557	$ 29,314,221
Adjustments to reconcile net income to net cash provided by operations:
Depreciation	6,849,622	6,704,141
Change in fair value of commodity derivative instruments	(4,020,591)	2,174,945
Gain on sale of equipment	0	(11,827)
Non-cash dividend income	(114,757)	(104,941)
Change in operating assets and liabilities:
Restricted cash	1,050,446	(858,617)
Trade accounts receivables	1,601,435	9,787,628
Miscellaneous receivable	119,645	(76,779)
Inventories	(8,688,784)	(8,274,855)
Prepaid and other current assets	108,678	(51,150)
Commodity derivative instruments	1,806,543	(888,430)
Accounts payable	(346,134)	1,529,718
Accounts payable-corn	(1,529,862)	679,135
Accrued expenses	(572,836)	(3,381,048)
Net cash provided by operating activities	2,683,962	36,542,141
Cash Flows from Investing Activities
Capital expenditures	(75,629)	(27,686)
Payments for construction in progress	(5,492,013)	(5,980,542)
Proceeds from sale of equipment	0	35,000
Net cash used for investing activities	(5,567,642)	(5,973,228)
Cash Flows from Financing Activities
Distributions paid	(15,044,180)	(48,199,797)
Proceeds from long-term debt	6,516,964	0
Net cash used for financing activities	(8,527,216)	(48,199,797)
Net Decrease in Cash	(11,410,896)	(17,630,884)
Cash – Beginning of Period	20,827,614	27,731,976
Cash – End of Period	9,416,718	10,101,092
Supplemental Cash Flow Information
Interest paid	143,567	0
Supplemental Disclosure of Noncash Investing and Financing Activities
Construction in process included in accrued expenses	$ 649,776	$ 1,952,129

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Jun. 30, 2016
Summary of Significant Accounting Policies [Abstract]
Summary of Significant Accounting Policies	SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited condensed financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted as permitted by such rules and regulations. These financial statements and related notes should be read in conjunction with the financial statements and notes thereto included in the Company's audited financial statements for the year ended September 30, 2015 , contained in the Company's annual report on Form 10-K. In the opinion of management, the interim condensed financial statements reflect all adjustments considered necessary for fair presentation. Nature of Business Cardinal Ethanol, LLC, (the “Company”) is an Indiana limited liability company currently producing fuel-grade ethanol, distillers grains, corn oil and carbon dioxide near Union City, Indiana and sells these products throughout the continental United States. The Company's plant has an approximate annual production capacity between 100 and 120 million gallons. Accounting Estimates Management uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. The Company uses estimates and assumptions in accounting for the following significant matters, among others; the useful lives of fixed assets, allowance for doubtful accounts, the valuation of basis and delay price contracts on corn purchases, derivatives, inventory, patronage dividends, long-lived assets and inventory purchase commitments. Actual results may differ from previously estimated amounts, and such differences may be material to the financial statements. The Company periodically reviews estimates and assumptions, and the effects of revisions are reflected in the period in which the revision is made. Restricted Cash As a part of its commodities hedging activities, the Company is required to maintain cash balances with our commodities trading companies for initial and maintenance margins on a per futures contract basis. Changes in the market value of contracts may increase these requirements. As the futures contracts expire, the margin requirements also expire. Accordingly, we record the cash maintained with the traders in the margin accounts as restricted cash. Since this cash is immediately available to us upon request when there is a margin excess, we consider this restricted cash to be a current asset. Trade Accounts Receivable Credit terms are extended to customers in the normal course of business. The Company performs ongoing credit evaluations of its customers' financial condition and, generally, requires no collateral. Accounts receivable are recorded at their estimated net realizable value. Accounts are considered past due if payment is not made on a timely basis in accordance with the Company's credit terms. Amounts considered uncollectible are written off. The Company's estimate of the allowance for doubtful accounts is based on historical experience, its evaluation of the current status of receivables, and unusual circumstances, if any. Inventories Inventories consist of raw materials, work in process, finished goods and parts. Corn is the primary raw material. Finished goods consist of ethanol, dried distiller grains and corn oil. Inventories are stated at the lower of weighted average cost or net realizable value. Net realizable value is the estimated selling prices in the normal course of business, less reasonably predictable costs. Property, Plant and Equipment Property, plant, and equipment are stated at cost. Depreciation is provided over estimated useful lives by use of the straight line depreciation method. Maintenance and repairs are expensed as incurred; major improvements and betterments are capitalized. Construction in progress expenditures will be depreciated using the straight-line method over their estimated useful lives once the assets are placed into service. Long-Lived Assets The Company reviews its long-lived assets, such as property, plant and equipment and financing costs, subject to depreciation and amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by an asset to the carrying value of the asset. If the carrying value of the long-lived asset is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. Investments Investments consist of the capital stock and patron equities of the Company's distillers grains marketer. The investments are stated at the lower of cost or fair value and adjusted for non cash patronage equities received. Patronage dividends are recognized when received and included within revenue in the condensed statements of operations. Revenue Recognition The Company generally sells ethanol and related products pursuant to marketing agreements. Revenues from the production of ethanol and the related products are recorded when the customer has taken title and assumed the risks and rewards of ownership, prices are fixed or determinable and collectability is reasonably assured. The Company believes that there are no ethanol sales, during any given month, which should be considered contingent and recorded as deferred revenue. The Company's products are sold Free on Board (FOB) shipping point. In accordance with the Company's agreements for the marketing and sale of ethanol and related products, marketing fees, commissions and freight due to the marketers are deducted from the gross sales price at the time incurred. Revenue is recorded net of these commissions and freight as they do not provide an identifiable benefit that is sufficiently separable from the sale of ethanol and related products. Net Income per Unit Basic net income per unit is computed by dividing net income by the weighted average number of members' units outstanding during the period. Diluted net income per unit is computed by dividing net income by the weighted average number of members' units and members' unit equivalents outstanding during the period. There were no member unit equivalents outstanding during the periods presented; accordingly, the Company's basic and diluted net income per unit are the same.

Concentrations

Concentrations	9 Months Ended
	Jun. 30, 2016
Concentrations [Abstract]
Concentrations	CONCENTRATIONS Two major customers accounted for approximately 93% of the outstanding accounts receivable balance at June 30, 2016 and at September 30, 2015 . These same two customers accounted for approximately 96% of revenue for the three and nine month periods ended June 30, 2016 and June 30, 2015 .

Inventories

Inventories	9 Months Ended
	Jun. 30, 2016
Inventory Disclosure [Abstract]
Inventories	INVENTORIES Inventories consist of the following as of: June 30, 2016 (Unaudited) September 30, 2015 Raw materials $ 14,360,927 $ 5,166,402 Work in progress 1,125,746 1,320,961 Finished goods 4,599,189 5,058,449 Spare parts 2,357,374 2,208,640 Total $ 22,443,236 $ 13,754,452 In the ordinary course of business, the Company enters into forward purchase contracts for its commodity purchases and sales. Certain contracts that literally meet the definition of a derivative may be exempted from derivative accounting as normal purchases or normal sales. At June 30, 2016 , the Company had forward corn purchase contracts at various fixed prices for various delivery periods through October 2017 for approximately 6.2% of expected production needs for the next sixteen months. Approximately 17.0% of the forward corn purchases were with related parties. Given the uncertainty of future ethanol and corn prices, the Company could incur a loss on the outstanding corn purchase contracts in future periods. Management has evaluated these forward contracts using a methodology similar to that used in the lower of cost or net realizable value evaluation with respect to inventory valuation, and has determined that no impairment existed at June 30, 2016 or September 30, 2015 . At June 30, 2016 , the Company had forward dried distiller grains sales contracts for approximately 32.0% of expected production for the next three months at various fixed prices for various delivery periods through September 2016 . At June 30, 2016 , the Company had forward corn oil contracts for approximately 61.9% of expected production for the next two months at various prices for various delivery periods through August 2016 . Also, at June 30, 2016 , the Company had forward natural gas contracts for approximately 38.8% of expected purchases for the next twenty-one months at various prices for various delivery periods through March 2018 .

Derivative Instruments

Derivative Instruments	9 Months Ended
	Jun. 30, 2016
Derivative Instruments [Abstract]
Derivative Instruments	DERIVATIVE INSTRUMENTS The Company enters into corn, ethanol and natural gas derivative instruments, which are required to be recorded as either assets or liabilities at fair value in the balance sheet. Derivatives qualify for treatment as hedges when there is a high correlation between the change in fair value of the derivative instrument and the related change in value of the underlying hedged item. The Company must designate the hedging instruments based upon the exposure being hedged as a fair value hedge, a cash flow hedge or a hedge against foreign currency exposure. The Company formally documents, designates, and assesses the effectiveness of transactions that receive hedge accounting initially and on an on-going basis. Commodity Contracts The Company enters into commodity-based derivatives, for corn, ethanol and natural gas in order to protect cash flows from fluctuations caused by volatility in commodity prices. This is also done to protect gross profit margins from potentially adverse effects of market and price volatility on commodity based purchase commitments where the prices are set at a future date. These derivatives are not designated as effective hedges for accounting purposes. For derivative instruments that are not accounted for as hedges, or for the ineffective portions of qualifying hedges, the change in fair value is recorded through earnings in the period of change. The changes in the fair market value of ethanol derivative instruments are included as a component of revenue. The changes in the fair market value of corn and natural gas derivative instruments are included as a component of cost of goods sold. At June 30, 2016 , the Company had a net short (selling) position of 6,024,250 bushels of corn under derivative contracts used to hedge its forward corn contracts, corn inventory and ethanol sales. The Company had a net short (selling) position of 3,080,000 bushels of corn under derivative contracts as of September 30, 2015 . These corn derivatives are traded on the Chicago Board of Trade and are forecasted to settle for various delivery periods through December 2017 , as of June 30, 2016 . At June 30, 2016 , the Company had a net short (selling) position of 9,450,000 gallons of ethanol under derivative contracts used to hedge its future ethanol sales. The Company had a net long (buying) position of 1,260,000 gallons of ethanol under derivative contracts as of September 30, 2015 . These ethanol derivatives are traded on the New York Mercantile Exchange and are forecasted to settle for various delivery periods through September 2016 , as of June 30, 2016 . At June 30, 2016 , the Company had a net long (buying) position of 860,000 MMBTUs of natural gas under derivative contracts used to hedge its forward natural gas purchases. These natural gas derivatives are traded on the New York Mercantile Exchange. These derivatives have not been designated as an effective hedge for accounting purposes. The following table provides balance sheet details regarding the Company's derivative financial instruments at June 30, 2016 : Instrument Balance Sheet Location Assets Liabilities Ethanol derivative contracts Commodity Derivative Instruments - Current $ — $ 225,025 Corn derivative contracts Commodity Derivative Instruments - Current $ 2,282,763 $ — Natural gas derivative contracts Commodity Derivative Instruments - Current $ 87,831 $ — As of June 30, 2016 the Company had approximately $161,000 cash collateral (restricted cash) related to ethanol, corn and natural gas derivatives. The following table provides balance sheet details regarding the Company's derivative financial instruments at September 30, 2015 : Instrument Balance Sheet Location Assets Liabilities Ethanol derivative contracts Commodity Derivative Instruments - Current $ — $ 58,338 Corn derivative contracts Commodity Derivative Instruments - Current $ — $ 10,141 As of September 30, 2015 the Company had approximately $1,211,000 of cash collateral (restricted cash) related to ethanol and corn derivatives held by three brokers. The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments for the three months ended June 30, 2016 : Instrument Statement of Operations Location Amount Corn Derivative Contracts Cost of Goods Sold $ 1,165,323 Ethanol Derivative Contracts Revenues (321,335 ) Natural Gas Derivative Contracts Cost of Goods Sold 210,738 Totals $ 1,054,726 The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments for the three months ended June 30, 2015 : Instrument Statement of Operations Location Amount Corn Derivative Contracts Cost of Goods Sold $ (781,964 ) Ethanol Derivative Contracts Revenues (1,519,061 ) Natural Gas Derivative Contracts Cost of Goods Sold (158,611 ) Totals $ (2,459,636 ) The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments for the nine months ended June 30, 2016 : Instrument Statement of Operations Location Amount Corn Derivative Contracts Cost of Goods Sold $ 4,172,024 Ethanol Derivative Contracts Revenues (99,434 ) Natural Gas Derivative Contracts Cost of Goods Sold (51,999 ) Totals $ 4,020,591 The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments for the nine months ended June 30, 2015 : Instrument Statement of Operations Location Amount Corn Derivative Contracts Cost of Goods Sold $ (820,659 ) Ethanol Derivative Contracts Revenues (1,285,652 ) Natural Gas Derivative Contracts Cost of Goods Sold (68,634 ) Totals $ (2,174,945 )

Fair Value Instruments

Fair Value Instruments	9 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	FAIR VALUE MEASUREMENTS The following table provides information on those assets and liabilities measured at fair value on a recurring basis as of June 30, 2016 : Derivatives Carrying Amount Fair Value Level 1 Level 2 Level 3 Corn Derivative Contracts $ 2,282,763 $ 2,282,763 $ 2,158,915 $ 123,848 — Ethanol Derivative Contracts $ (225,025 ) $ (225,025 ) $ (225,025 ) — — Natural Gas Derivative Contracts $ 87,831 $ 87,831 $ 47,511 $ 40,320 — The following table provides information on those assets and liabilities measured at fair value on a recurring basis as of September 30, 2015 : Derivatives Carrying Amount Fair Value Level 1 Level 2 Level 3 Corn Derivative Contracts $ (10,141 ) $ (10,141 ) $ (10,141 ) — — Ethanol Derivative Contracts $ (58,338 ) $ (58,338 ) $ (58,338 ) — — We determine the fair value of commodity futures derivative instruments utilizing Level 1 inputs by obtaining fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes and live trading levels from the Chicago Board of Trade market and New York Mercantile Exchange. We determine the fair value of natural gas and corn Level 2 instruments by model-based techniques in which all significant inputs are observable in the markets noted above.

Bank Financing

Bank Financing	9 Months Ended
	Jun. 30, 2016
Bank Financing [Abstract]
Bank Financing	BANK FINANCING The Company has a loan agreement consisting of two loans, the Declining Revolving Loan (Declining Loan) and the Revolving Credit Loan in exchange for liens on all property (real and personal, tangible and intangible) which include, among other things, a mortgage on the property, a security interest on commodity trading accounts, and assignment of material contracts. On May 6, 2016, the Company executed a Seventh Amendment of First Amended and Restated Construction Loan Agreement with First National Bank of Omaha ("FNBO") (the "Seventh Amendment"). The Seventh Amendment extended the draw period and conversion date of the Declining Loan to July 31, 2016 and also amended the definition of permitted liens effective March 1, 2016. On February 28, 2016, the Company executed a Sixth Amendment of First Amended and Restated Construction Loan Agreement with FNBO (the "Sixth Amendment"). The Sixth Amendment extended the termination date of the Revolving Credit Loan to February 28, 2017 and keeps all of the other previous terms agreed to in the Fifth Amendment. The interest rate on the Revolving Credit Loan is the 1-month LIBOR plus two hundred ninety basis points. On July 23, 2015, the Company executed a Fifth Amendment of First Amended and Restated Construction Loan Agreement with FNBO (the "Fifth Amendment") in order to obtain additional financing to fund a construction project which is expected to add storage capacity and increase production capacity at the plant. Please refer to Note 8 Commitments and Contingencies below for more information on the project. In connection therewith, the Company executed a Second Amended and Restated Declining Revolving Credit Note and a First Amended and Restated Construction Loan Mortgage, Security Agreement, Assignment of Leases and Rents and Fixture Financing Statements. Declining Note The Fifth Amendment increased the maximum availability of the Declining Loan for construction and working capital advances from $5,000,000 to $20,000,000 and lowers the interest rate on the Declining Loan to the 3-month LIBOR plus two hundred ninety basis points. The Seventh Amendment requires quarterly interest payments on the Declining Loan during the draw period and then the balance of the construction advances will be converted to term debt amortized over seven years on or before the draw period ending July 31, 2016, with a final maturity date of February 28, 2021. Any balance remaining after conversion of the principal balance of the construction advances will continue to be available for working capital purposes. The Fifth Amendment reinstates a prior requirement to maintain a minimum fixed charge coverage ratio of no less than 1.15:1.0 measured quarterly upon completion of the expansion project. The cost of the expansion project is excluded from the $5,000,000 annual limit on capital expenditures. The interest rate on the Declining Loan at June 30, 2016 was 3.55% . There were borrowings in the amount of $11,382,200 outstanding on the Declining Loan at June 30, 2016 and borrowings in the amount of $4,865,236 at September 30, 2015 . An additional $3,617,800 was drawn against the Declining Loan before the loan conversion date on July 31, 2016. Therefore, the total long-term debt amounts to $15,000,000 on the loan conversion date. Revolving Credit Loan The Revolving Credit Loan has a limit of $15,000,000 supported by a borrowing base made up of the Company's corn, ethanol, dried distillers grain and corn oil inventories reduced by accounts payable associated with those inventories having a priority. It is also supported by the eligible accounts receivable and commodity trading account excess margin funds. The interest rate on the Revolving Credit Loan is based on the 1-month LIBOR plus two hundred ninety basis points. The interest rate at June 30, 2016 was 3.37% . There were no borrowings outstanding on the Revolving Credit Loan at June 30, 2016 or September 30, 2015 . These loans are subject to protective covenants, which require the Company to maintain various financial ratios. The covenants include a working capital requirement of $15,000,000 , and a capital expenditures covenant that allows the Company $5,000,000 of expenditures per year without prior approval. Long-term debt, as discussed above, consists of the following at June 30, 2016 : Declining revolving note $ 11,382,200 Less amounts due within one year 1,330,417 Net long-term debt $ 10,051,783 The estimated maturities of long-term debt at June 30, 2016 are as follows: July 1, 2016 to June 30, 2017 $ 1,330,417 July 1, 2017 to June 30, 2018 1,501,500 July 1, 2018 to June 30, 2019 1,556,444 July 1, 2019 to June 30, 2020 1,612,793 July 1, 2020 to June 30, 2021 5,381,046 Thereafter — Total long-term debt $ 11,382,200

Leases

Leases	9 Months Ended
	Jun. 30, 2016
Leases [Abstract]
Leases	LEASES At June 30, 2016 , the Company had the following commitments for payments of rentals under leases which at inception had a non-cancellable term of more than one year: Total July 1, 2016 to June 30, 2017 $ 1,172,964 July 1, 2017 to June 30, 2018 1,172,964 July 1, 2018 to June 30, 2019 389,347 Total minimum lease commitments $ 2,735,275

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Jun. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	COMMITMENTS AND CONTINGENCIES Expansion Projects The Board of Directors has approved a management proposal of projects which are expected to add storage capacity and also increase production capacity to near 135 million gallons over the next twelve months, up from fiscal year 2015 production of 117 million gallons per year. The projects are expected to cost approximately $18,200,000 . In connection with the expansion, the Company executed a Construction Agreement dated April 15, 2015 with Custom Agri Builders, LLC to construct two grain bins, a grain dryer and an unloading pit at the plant for a fixed price of approximately $8,892,000 , subject to execution of additional written change orders for modifications. The expansion projects, including the grain bins, grain dryer and unloading pit are ongoing and are expected to be completed by our 2016 fiscal year end. Land Purchase The Board of Directors has approved the purchase of approximately 64 acres of land adjacent to the current property. For consideration of this future purchase, the Company gave $100,000 of earnest money to the seller. The final purchase price and title will transfer after the crops have been harvested in the first quarter of fiscal year 2017. An additional $546,380 will be due upon closing. Legal Proceedings In February 2010, a lawsuit against the Company was filed by an unrelated party claiming the Company's operation of the oil separation system in a patent infringement. In connection with the lawsuit, in February 2010, the agreement for the construction and installation of the tricanter oil separation system was amended. In this amendment the manufacturer and installer of the tricanter oil separation system indemnifies the Company against all claims of infringement of patents, copyrights or other intellectual property rights from the Company's purchase and use of the tricanter oil system and agrees to defend the Company in the lawsuit filed at no expense to the Company. On October 23, 2014, the court granted summary judgment finding that all of the patents claimed were invalid and that the Company had not infringed. However, this ruling is subject to appeal. The manufacturer has, and the Company expects it will continue, to vigorously defend itself and the Company in these lawsuits and in any appeal filed. If the ruling was to be successfully appealed, the Company estimates that damages sought in this litigation if awarded would be based on a reasonable royalty to, or lost profits of, the plaintiff. If the court deems the case exceptional, attorney's fees may be awarded and are likely to be $1,000,000 or more. The manufacturer has also agreed to indemnify the Company for these fees. However, in the event that damages are awarded, if the manufacturer is unable to fully indemnify the Company for any reason, the Company could be liable. In addition, the Company may need to cease use of its current oil separation process and seek out a replacement or cease oil production altogether.

Uncertainties Impacting the Eth

Uncertainties Impacting the Ethanol Industry and Our Future Operations	9 Months Ended
	Jun. 30, 2016
Uncertainties Impacting the Ethanol Industry and Our Future Operations [Abstract]
Uncertainties Impacting the Ethanol Industry and Our Future Operations	UNCERTAINTIES IMPACTING THE ETHANOL INDUSTRY AND OUR FUTURE OPERATIONS The Company has certain risks and uncertainties that it experiences during volatile market conditions, which can have a severe impact on operations. The Company's revenues are derived from the sale and distribution of ethanol, distillers grains and corn oil to customers primarily located in the U.S. Corn for the production process is supplied to the plant primarily from local agricultural producers and from purchases on the open market. Ethanol sales average approximately 77% of total revenues and corn costs average 81% of total cost of goods sold. The Company's operating and financial performance is largely driven by prices at which the Company sells ethanol, distillers grains and corn oil, and the related cost of corn. The price of ethanol is influenced by factors such as supply and demand, weather, government policies and programs, and the unleaded gasoline and the petroleum markets, although, since 2005, the prices of ethanol and gasoline began a divergence with ethanol selling for less than gasoline at the wholesale level. Excess ethanol supply in the market, in particular, puts downward pressure on the price of ethanol. The Company's largest cost of production is corn. The cost of corn is generally impacted by factors such as supply and demand, weather, government policies and programs. The Company's risk management program is used to protect against the price volatility of these commodities.

Accounting Policies

Accounting Policies	9 Months Ended
	Jun. 30, 2016
Summary of Significant Accounting Policies [Abstract]
Accounting Estimates	Accounting Estimates Management uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. The Company uses estimates and assumptions in accounting for the following significant matters, among others; the useful lives of fixed assets, allowance for doubtful accounts, the valuation of basis and delay price contracts on corn purchases, derivatives, inventory, patronage dividends, long-lived assets and inventory purchase commitments. Actual results may differ from previously estimated amounts, and such differences may be material to the financial statements. The Company periodically reviews estimates and assumptions, and the effects of revisions are reflected in the period in which the revision is made.
Restricted Cash	Restricted Cash As a part of its commodities hedging activities, the Company is required to maintain cash balances with our commodities trading companies for initial and maintenance margins on a per futures contract basis. Changes in the market value of contracts may increase these requirements. As the futures contracts expire, the margin requirements also expire. Accordingly, we record the cash maintained with the traders in the margin accounts as restricted cash. Since this cash is immediately available to us upon request when there is a margin excess, we consider this restricted cash to be a current asset.
Trade Accounts Receivable	Trade Accounts Receivable Credit terms are extended to customers in the normal course of business. The Company performs ongoing credit evaluations of its customers' financial condition and, generally, requires no collateral. Accounts receivable are recorded at their estimated net realizable value. Accounts are considered past due if payment is not made on a timely basis in accordance with the Company's credit terms. Amounts considered uncollectible are written off. The Company's estimate of the allowance for doubtful accounts is based on historical experience, its evaluation of the current status of receivables, and unusual circumstances, if any.
Inventories	Inventories Inventories consist of raw materials, work in process, finished goods and parts. Corn is the primary raw material. Finished goods consist of ethanol, dried distiller grains and corn oil. Inventories are stated at the lower of weighted average cost or net realizable value. Net realizable value is the estimated selling prices in the normal course of business, less reasonably predictable costs.
Property, Plant and Equipment	Property, Plant and Equipment Property, plant, and equipment are stated at cost. Depreciation is provided over estimated useful lives by use of the straight line depreciation method. Maintenance and repairs are expensed as incurred; major improvements and betterments are capitalized. Construction in progress expenditures will be depreciated using the straight-line method over their estimated useful lives once the assets are placed into service.
Long-Lived Assets	Long-Lived Assets The Company reviews its long-lived assets, such as property, plant and equipment and financing costs, subject to depreciation and amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by an asset to the carrying value of the asset. If the carrying value of the long-lived asset is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary.
Investments	Investments Investments consist of the capital stock and patron equities of the Company's distillers grains marketer. The investments are stated at the lower of cost or fair value and adjusted for non cash patronage equities received. Patronage dividends are recognized when received and included within revenue in the condensed statements of operations.
Revenue Recognition	Revenue Recognition The Company generally sells ethanol and related products pursuant to marketing agreements. Revenues from the production of ethanol and the related products are recorded when the customer has taken title and assumed the risks and rewards of ownership, prices are fixed or determinable and collectability is reasonably assured. The Company believes that there are no ethanol sales, during any given month, which should be considered contingent and recorded as deferred revenue. The Company's products are sold Free on Board (FOB) shipping point. In accordance with the Company's agreements for the marketing and sale of ethanol and related products, marketing fees, commissions and freight due to the marketers are deducted from the gross sales price at the time incurred. Revenue is recorded net of these commissions and freight as they do not provide an identifiable benefit that is sufficiently separable from the sale of ethanol and related products.
Net Income per Unit	Net Income per Unit Basic net income per unit is computed by dividing net income by the weighted average number of members' units outstanding during the period. Diluted net income per unit is computed by dividing net income by the weighted average number of members' units and members' unit equivalents outstanding during the period. There were no member unit equivalents outstanding during the periods presented; accordingly, the Company's basic and diluted net income per unit are the same.

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	Jun. 30, 2016
Inventory Disclosure [Abstract]
Schedule of Inventory	Inventories consist of the following as of: June 30, 2016 (Unaudited) September 30, 2015 Raw materials $ 14,360,927 $ 5,166,402 Work in progress 1,125,746 1,320,961 Finished goods 4,599,189 5,058,449 Spare parts 2,357,374 2,208,640 Total $ 22,443,236 $ 13,754,452

Derivative Instruments (Tables)

Derivative Instruments (Tables)	9 Months Ended
	Jun. 30, 2016
Derivative [Line Items]
Schedule of Derivatives Instruments Statements of Financial Performance and Financial Position	The following table provides balance sheet details regarding the Company's derivative financial instruments at June 30, 2016 : Instrument Balance Sheet Location Assets Liabilities Ethanol derivative contracts Commodity Derivative Instruments - Current $ — $ 225,025 Corn derivative contracts Commodity Derivative Instruments - Current $ 2,282,763 $ — Natural gas derivative contracts Commodity Derivative Instruments - Current $ 87,831 $ — As of June 30, 2016 the Company had approximately $161,000 cash collateral (restricted cash) related to ethanol, corn and natural gas derivatives. The following table provides balance sheet details regarding the Company's derivative financial instruments at September 30, 2015 : Instrument Balance Sheet Location Assets Liabilities Ethanol derivative contracts Commodity Derivative Instruments - Current $ — $ 58,338 Corn derivative contracts Commodity Derivative Instruments - Current $ — $ 10,141
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]	The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments for the three months ended June 30, 2016 : Instrument Statement of Operations Location Amount Corn Derivative Contracts Cost of Goods Sold $ 1,165,323 Ethanol Derivative Contracts Revenues (321,335 ) Natural Gas Derivative Contracts Cost of Goods Sold 210,738 Totals $ 1,054,726 The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments for the three months ended June 30, 2015 : Instrument Statement of Operations Location Amount Corn Derivative Contracts Cost of Goods Sold $ (781,964 ) Ethanol Derivative Contracts Revenues (1,519,061 ) Natural Gas Derivative Contracts Cost of Goods Sold (158,611 ) Totals $ (2,459,636 ) The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments for the nine months ended June 30, 2016 : Instrument Statement of Operations Location Amount Corn Derivative Contracts Cost of Goods Sold $ 4,172,024 Ethanol Derivative Contracts Revenues (99,434 ) Natural Gas Derivative Contracts Cost of Goods Sold (51,999 ) Totals $ 4,020,591 The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments for the nine months ended June 30, 2015 : Instrument Statement of Operations Location Amount Corn Derivative Contracts Cost of Goods Sold $ (820,659 ) Ethanol Derivative Contracts Revenues (1,285,652 ) Natural Gas Derivative Contracts Cost of Goods Sold (68,634 ) Totals $ (2,174,945 )

Fair Value Instruments (Tables)

Fair Value Instruments (Tables)	9 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis	The following table provides information on those assets and liabilities measured at fair value on a recurring basis as of June 30, 2016 : Derivatives Carrying Amount Fair Value Level 1 Level 2 Level 3 Corn Derivative Contracts $ 2,282,763 $ 2,282,763 $ 2,158,915 $ 123,848 — Ethanol Derivative Contracts $ (225,025 ) $ (225,025 ) $ (225,025 ) — — Natural Gas Derivative Contracts $ 87,831 $ 87,831 $ 47,511 $ 40,320 — The following table provides information on those assets and liabilities measured at fair value on a recurring basis as of September 30, 2015 : Derivatives Carrying Amount Fair Value Level 1 Level 2 Level 3 Corn Derivative Contracts $ (10,141 ) $ (10,141 ) $ (10,141 ) — — Ethanol Derivative Contracts $ (58,338 ) $ (58,338 ) $ (58,338 ) — —

Bank Financing Schedule of Long

Bank Financing Schedule of Long Term Debt (Tables)	9 Months Ended
	Jun. 30, 2016
Debt Disclosure [Abstract]
Schedule of Debt [Table Text Block]	Long-term debt, as discussed above, consists of the following at June 30, 2016 : Declining revolving note $ 11,382,200 Less amounts due within one year 1,330,417 Net long-term debt $ 10,051,783

Bank Financing Schedule of Matu

Bank Financing Schedule of Maturities of Long Term Debt (Tables)	9 Months Ended
	Jun. 30, 2016
Debt Disclosure [Abstract]
Schedule of Maturities of Long-term Debt [Table Text Block]	The estimated maturities of long-term debt at June 30, 2016 are as follows: July 1, 2016 to June 30, 2017 $ 1,330,417 July 1, 2017 to June 30, 2018 1,501,500 July 1, 2018 to June 30, 2019 1,556,444 July 1, 2019 to June 30, 2020 1,612,793 July 1, 2020 to June 30, 2021 5,381,046 Thereafter — Total long-term debt $ 11,382,200

Leases (Tables)

Leases (Tables)	9 Months Ended
	Jun. 30, 2016
Leases [Abstract]
Schedule of Future Minimum Payments for Capital and Operating Leases	At June 30, 2016 , the Company had the following commitments for payments of rentals under leases which at inception had a non-cancellable term of more than one year: Total July 1, 2016 to June 30, 2017 $ 1,172,964 July 1, 2017 to June 30, 2018 1,172,964 July 1, 2018 to June 30, 2019 389,347 Total minimum lease commitments $ 2,735,275

Summary of Significant Accoun22

Summary of Significant Accounting Policies Nature of Business (Details) - Ethanol [Member] gal in Millions	9 Months Ended
	Jun. 30, 2016gal
Minimum [Member]
Product Information [Line Items]
Annual Production Capacity	100
Maximum [Member]
Product Information [Line Items]
Annual Production Capacity	120

Concentrations (Details)

Concentrations (Details) - Customer Concentration Risk [Member]	9 Months Ended		12 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Sep. 30, 2015
Accounts Receivable [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	93.00%		93.00%
Sales Revenue, Goods, Net [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	96.00%	96.00%

Inventories (Details)

Inventories (Details) - USD ($)	Jun. 30, 2016	Sep. 30, 2015
Inventory [Line Items]
Raw materials	$ 14,360,927	$ 5,166,402
Work in progress	1,125,746	1,320,961
Finished goods	4,599,189	5,058,449
Spare parts	2,357,374	2,208,640
Total	$ 22,443,236	$ 13,754,452
Corn [Member]
Inventory [Line Items]
Derivative, Nonmonetary Notional Amount, Percent of Required Need, Coverage	6.20%
Distillers Grains [Member]
Inventory [Line Items]
Derivative, Nonmonetary Notional Amount, Percent of Required Need, Coverage	32.00%
Corn Oil [Member] [Member]
Inventory [Line Items]
Derivative, Nonmonetary Notional Amount, Percent of Required Need, Coverage	61.90%
Natural Gas [Member]
Inventory [Line Items]
Derivative, Nonmonetary Notional Amount, Percent of Required Need, Coverage	38.80%
Related Party [Member] | Corn [Member]
Inventory [Line Items]
Derivative, Nonmonetary Notional Amount, Percent of Required Need, Coverage	17.00%

Derivative Instruments (Details

Derivative Instruments (Details) - Not Designated as Hedging Instrument [Member]	9 Months Ended	12 Months Ended
	Jun. 30, 2016MMBTUbugal	Sep. 30, 2015bugal
Corn [Member] | Short [Member]
Derivative [Line Items]
Derivative, Nonmonetary Notional Amount, Volume	6,024,250
Corn [Member] | Long [Member]
Derivative [Line Items]
Derivative, Nonmonetary Notional Amount, Volume		3,080,000
Ethanol [Member] | Short [Member]
Derivative [Line Items]
Derivative, Nonmonetary Notional Amount, Volume | gal	9,450,000	1,260,000
Natural Gas [Member]
Derivative [Line Items]
Derivative, Nonmonetary Notional Amount, Energy Measure | MMBTU	(860,000)

Derivative Instruments - Balanc

Derivative Instruments - Balance Sheet (Details) - USD ($)	Jun. 30, 2016	Sep. 30, 2015
Derivatives, Fair Value [Line Items]
Restricted Cash and Cash Equivalents, Current	$ 161,030	$ 1,211,476
Commodity Contract [Member]
Derivatives, Fair Value [Line Items]
Restricted Cash and Cash Equivalents, Current	161,000	1,211,000
Commodity Derivative Instruments - Current [Member] | Not Designated as Hedging Instrument [Member] | Ethanol [Member]
Derivatives, Fair Value [Line Items]
Derivative Asset, Fair Value, Net	0	0
Derivative Liability, Fair Value, Net	225,025	58,338
Commodity Derivative Instruments - Current [Member] | Not Designated as Hedging Instrument [Member] | Corn [Member]
Derivatives, Fair Value [Line Items]
Derivative Asset, Fair Value, Net	2,282,763	0
Derivative Liability, Fair Value, Net	0	$ 10,141
Commodity Derivative Instruments - Current [Member] | Not Designated as Hedging Instrument [Member] | Natural Gas [Member]
Derivatives, Fair Value [Line Items]
Derivative Asset, Fair Value, Net	87,831
Derivative Liability, Fair Value, Net	$ 0

Derivative Instruments - Income

Derivative Instruments - Income Statement (Details) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Recognized in Income, Net			$ (1,806,543)	$ 888,430
Gain (Loss) on Price Risk Derivative Instruments Not Designated as Hedging Instruments	$ 1,054,726	$ (2,459,636)	4,020,591	(2,174,945)
Not Designated as Hedging Instrument [Member] | Corn [Member] | Cost of Sales [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Recognized in Income, Net	1,165,323	(781,964)	4,172,024	(820,659)
Not Designated as Hedging Instrument [Member] | Ethanol [Member] | Sales [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Recognized in Income, Net	(321,335)	(1,519,061)	(99,434)	(1,285,652)
Not Designated as Hedging Instrument [Member] | Natural Gas [Member] | Cost of Sales [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Recognized in Income, Net	$ 210,738	$ (158,611)	$ (51,999)	$ (68,634)

Fair Value Instruments (Details

Fair Value Instruments (Details) - USD ($)	Jun. 30, 2016	Sep. 30, 2015
Corn [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	$ 2,282,763	$ (10,141)
Corn [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	2,282,763	(10,141)
Corn [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	2,158,915	(10,141)
Corn [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	123,848	0
Corn [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	0	0
Ethanol [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	(225,025)	(58,338)
Ethanol [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	(225,025)	(58,338)
Ethanol [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	(225,025)	(58,338)
Ethanol [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	0	0
Ethanol [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	0	$ 0
Natural Gas [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	87,831
Natural Gas [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	87,831
Natural Gas [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	47,511
Natural Gas [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	40,320
Natural Gas [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative Assets (Liabilities)	$ 0

Bank Financing - Debt Instrumen

Bank Financing - Debt Instruments (Details) - USD ($)	3 Months Ended
	Sep. 30, 2016	Jun. 30, 2016	Sep. 30, 2015
Debt Instrument [Line Items]
Long-term Line of Credit			$ 0
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Long-term Debt, Maturities, Repayments of Principal in Next Rolling Twelve Months		$ 1,330,417
Long-term Line of Credit		0
Line of Credit Facility, Covenant, Working Capital		15,000,000
Line of Credit Facility, Fair Value of Amount Outstanding		11,382,200
Line of Credit Facility, Maximum Borrowing Capacity		$ 15,000,000
Debt Instrument, Interest Rate, Effective Percentage		3.37%
Line of Credit Facility, Covenant, Maximum Capital Expenditures Per Year Without Prior Approval		$ 5,000,000
Long-term Debt, Maturities, Repayments of Principal in Year Two		1,501,500
Long-term Debt, Maturities, Repayments of Principal in Rolling Year Three		1,556,444
Long-term Debt, Maturities, Repayments of Principal in Rolling Year Four		1,612,793
Long-term Debt, Maturities, Repayments of Principal in Rolling Year Five		5,381,046
Long-term Debt, Maturities, Repayments of Principal in Rolling after Year Five		0
Declining Note [Member]
Debt Instrument [Line Items]
Long-term Line of Credit		11,382,200	4,865,236
Line of Credit Facility, Maximum Borrowing Capacity		20,000,000	5,000,000
Line of Credit, Current		1,330,417
Long-term Line of Credit, Noncurrent		$ 10,051,783
Declining Note [Member]
Debt Instrument [Line Items]
Long-term Debt			$ 0
Debt Instrument, Interest Rate, Effective Percentage		3.55%
Annual Capital Expenditures [Member] | Declining Note [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Covenant Terms		5,000,000
Fixed Charge Coverage Ratio [Member] | Declining Note [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Covenant Terms		1.15:1.0
Subsequent Event [Member] | Declining Note [Member]
Debt Instrument [Line Items]
Line of Credit Facility, Increase (Decrease) for Period, Description	3,617,800
Line of Credit Facility, Fair Value of Amount Outstanding	$ 15,000,000

Leases (Details)

Leases (Details) - Transportation Equipment [Member]	Jun. 30, 2016USD ($)
Operating Leased Assets [Line Items]
Operating Leases, Payments Due July 1, 2016 to June 31, 2017	$ 1,172,964
Operating Leases, Payments Due July 1, 2017 to June 31, 2018	1,172,964
Operating Leases, Payments Due July 1, 2018 to June 30, 2019	389,347
Operating Leases, Future Minimum Payments Due	$ 2,735,275

Commitments and Contingencies (

Commitments and Contingencies (Details)	Jun. 30, 2016USD ($)
Pending Litigation [Member]
Loss Contingencies [Line Items]
Estimated Litigation Liability	$ 1,000,000

Commitments and Contingencies O

Commitments and Contingencies Other Contingencies (Details) gal in Millions	9 Months Ended	12 Months Ended
	Jun. 30, 2016USD ($)agal	Sep. 30, 2015USD ($)gal
Other Commitments [Line Items]
Annual Production Capacity Increase | gal	135	117
Estimated Plant Expansion Costs		$ 18,200,000
Area of Land | a	64
Earnest Money Deposits	$ 100,000
Payments to Acquire and Develop Real Estate	546,380
Grain Bins and Dryer [Member]
Other Commitments [Line Items]
Estimated Plant Expansion Costs	$ 8,892,000

Uncertainties Impacting the E33

Uncertainties Impacting the Ethanol Industry and Our Future Operations (Details)	9 Months Ended
	Jun. 30, 2016
Sales Revenue, Goods, Net [Member] | Ethanol [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	77.00%
Cost of Goods, Segment [Member] | Corn [Member]
Concentration Risk [Line Items]
Concentration Risk, Percentage	81.00%