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Producing Renewable Energy for America

Producing Renewable Energy for America. Forward-Looking Statements.

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Producing Renewable Energy for America

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  1. Producing Renewable Energy for America

  2. Forward-Looking Statements This presentation contains forward-looking statements based on current expectations that involve a number of risks and uncertainties. Generally, forward-looking statements do not relate strictly to historical or current facts, including statements concerning plans and objectives of management for future operations, economic performance or related assumptions. Forward-looking statements may include words or phrases such as management or the Company “anticipates,” “believes,” “estimates,” “expects,” “intends,” “plans,” “projects,” “should,” “will,” “goals,” and other words and terms of similar meaning. Statements regarding future events and developments and our future performance, including statements regarding completion of facilities under construction, closing pending acquisitions, expectations concerning our growth plans, related financings, and future financial results are forward-looking statements. The forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Reform Act of 1995. Although we believe that our expectations regarding future events are based on reasonable assumptions, any or all of the forward-looking statements in this presentation may turn out to be wrong. Actual events or results may differ materially from those indicated in such forward-looking statements. In addition, the Company disclaims any obligation to update any forward-looking statements. Factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements include, but are not limited to, those discussed in the “Risk Factors” sections of our most recent Quarterly Report on Form 10-Q and Annual Report on Form 10-K.

  3. Investment Highlights • Significant near-term revenue ramp as two 50 million gallon ethanol plants begin production and Great Lakes merger/acquisition potentially closes within the next few months • Efficient, low-cost producer with vertical integration corn supply strategy • Disciplined growth strategy through targeted acquisitions • Experienced management team with significant ownership stake • One of the most attractive capacity valuations in the industry • Fast-growing industry with strong bipartisan political support

  4. Industry Update

  5. (BGY) 163.0 27.3 13.5 6.9 Significant Growth Opportunity • The US consumed approximately 137 billion gallons of gasoline in 2005 • Ethanol currently represents 3% of the gasoline market • Anticipated gasoline demand of 163 billion gallons per year by 2015 • 10% blend in 2015 – 16.3 billion gallons per year • Potential flex-fuel vehicle market (E85) in 2015 – additional 11.0 billion gallons per year • Source: RFA, October, 2007 • Includes 6.6 billion gallons of ethanol capacity under construction (Source: RFA, October, 2007) • Calculated at 10% of the projected 2015 gasoline market of 163.0 billion gallons (Source: EIA, 2006) • Calculated based on projected flex-fuel vehicles (FFV) in 2015 of 22 million, assuming 600 gallons of E85 used each year per FFV.

  6. Benefits of Adding Ethanol to Gasoline Ethanol Replacing MTBE as Fuel Additive Ethanol valued as a clean, high-octane additive • Increases octane • Expands fuel • Burns cleaner • Reduces emissions • Ethanol viewed as a strategic blend component Octane Values(3) (1) Source: RFA, 2006 (2) Source: EIA, 2006 (3) Source: ACE, 2006

  7. Historically Ethanol Price Tracks Gasoline Price Ethanol has averaged $0.39 over wholesale gasoline prices over the past five years

  8. Currently Ethanol Prices Are Discounted to Gasoline $0.50/gallon Recently ethanol has traded at a $0.50 discount to wholesale gasoline prices.

  9. Currently Ethanol is “Buying” Market Share • Blenders are capturing over $1 per gallon margin: • $0.51 per gallon blenders’ credit • $0.50 per gallon discount to gasoline • Total economic benefit is nearly $7 billion based on industry capacity: • Blending infrastructure development should accelerate based on extremely favorable project returns • Once infrastructure is built, higher demand should remain, even at more normalized spreads to gasoline • Long-term ethanol margins should improve: • Infrastructure development should improve ethanol prices relative to gasoline • Higher oil prices should increase gasoline refining margins • Corn prices have pulled back as growth in ethanol development has slowed

  10. Adequate Corn Supplies Expected • The USDA projects the 2007 corn crop to be about 13.3 billion bushels • Ethanol production will account for about 15% of demand • National Corn Growers projects 14.6 billion bushel crop by 2015(1) • That level supports 15.9 BGY of ethanol production “NCGA conducted an analysis of future corn use dynamics. Because of increasing yields, acreage shifts, new technology and the displacement effect of distillers grains, it seems feasible that corn growers could harvest a crop of 14-15 billion bushels by 2015-16.” (1) • Source: National Corn Growers and ProExporter, 2006; http://www.ncga.com/ethanol • Source: NCGA, 2006

  11. Company Update

  12. Company History Projected closing of Great Lakes acquisition Raised $48mm in secondary offering Production began at Shenandoah plant Essex Elevator acquisition announced Raised $34.5mm in IPO Began trading on NASDAQ 2006 2008 2007 Construction at Superior site begins Great Lakes merger-acquisition announced Production projected to begin at Superior plant Construction at Shenandoah site begins

  13. Legend -62.7 - -55.6 -55.6 - -48.5 -48.5 - -41.4 -41.4 - -34.3 -34.3 - -27.2 -27.2 - -20.1 -20.1 - -13.0 -13.0 - -5.9 -5.9 - -1.2 O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O Operating Plants and Plants Under Construction (2) O O O O O GPRE Plant Locations O Low-Cost Plant Locations Iowa Corn Basis(1) (1) Source: Center for Agricultural & Rural Development, Iowa State University Map shows Corn Basis on 8/6/07 Basis calculated from CBOT DEC futures prices 325.8 cents per bushel (2)Source: Iowa Corn Growers Association

  14. DELTA T Renewable Products Marketing Group, LLC. Experienced, Reliable Partners Industries

  15. Management Team WAYNE B. HOOVESTOL— Chief Executive Officer & Director Mr. Hoovestol was elected to the board of Green Plains in March 2006. After attending North Dakota State University in Fargo, ND, and later the University of Minnesota, Mr. Hoovestol began operating Hoovestol Inc. and Major Transport, two transportation companies, in 1978. Mr. Hoovestol became involved with ethanol in 1995 as an investor and has served on the boards of two other ethanol plants. JERRY L. PETERS— Chief Financial OfficerMr. Peters joined Green Plains in June 2007. Prior to working with GPRE, he served as Chief Financial Officer for ONEOK Partners, L.P. (formerly Northern Border Partners L.P.), a publicly traded partnership engaged in gathering, processing, storage, and transportation of natural gas and natural gas liquids. Prior to joining ONEOK Partners in 1985, Mr. Peters was employed by KPMG LLP as a certified public accountant. Mr. Peters holds a Bachelors degree in accounting from the University of Nebraska-Lincoln and an MBA in finance from Creighton University. DOUG ARCHER — General Manager Mr. Archer joined Green Plains in August 2007. Prior to joining Green Plains, Mr. Archer worked as Controllerfor POET, one of the leaders in the ethanol industry. Prior to POET, Mr. Archer served for six years as VP of Operations /Finance for Citation Mfg., Inc., a manufacturer and distributor of various construction industry products. Mr. Archer is a graduate of Augustana College in Sioux Falls, SD where he received a B.A. in Business and minored in Computer Science.  

  16. Shenandoah Plant Summary Nameplate Capacity: 50 million gallons/year - expandable to 100 million Builder: Fagen Inc. Process Technology Provider: ICM, Inc. Start of Construction: March 2006 First Grind: August 23, 2007 Transportation Capacity: 100 car rail capability; dual-scale truck capability Employees: Approximately 35 employees Achieved nameplate production level within 2 weeks of startup

  17. Superior Plant Summary Nameplate Capacity: 50 million gallons/year – expandable to 100 million gallons Builder: Agra Industries, Inc. Process Technology Provider: Delta T, Inc. Start of Construction: June 2006 Expected First Grind: First quarter 2008 Transportation Capacity: 100 car rail loop; dual-scale truck capability Employees: Plant management hiring in process

  18. Strategic Direction To be a consolidator in the ethanol industry by: • Providing professional management and developed infrastructure for efficient ethanol production: • Corn procurement and logistics • Risk management • Ethanol marketing and logistics • Operations support • Access to financial capital • Project development • Research and development • Providing liquidity to shareholders of privately-held single-plant ethanol companies • Targeted acquisitions at reasonable multiples

  19. Acquisition Summary – Great Lakes Cooperative • Company Overview: Full-service farm cooperative • 14.5 million bushels of grain storage capacity • Grain, agronomy, feed & petroleum businesses • Approximately 100 employees • About 2,300 members • Purchase Price: Cash and stock- • $12.5 million cash • 451,000 shares • Announcement: August 15, 2007 • Expected Closing: January 2008

  20. Acquisition Summary – GLC (cont.) • Business Highlights • Seven sites within 50 miles of Superior ethanol plant • Four mainline rail load-out facilities • FY 2007 throughput: 18 million bushels corn, 6 million bushels soybeans • FY 2007 revenues of $141 million • Vertical Integration Strategy • Grain storage available to manage corn feedstock prices and supply • Fertilizer, feed and petroleum businesses provide services to area producers • 1,400 Co-op members will become GPRE shareholders and business partners

  21. Projected Production Capacity per Share Projected 2008 Capacity per Share (1) GPRE is LEVERAGED TO ETHANOL ECONOMICS (1)Based on October 2007 Broadpoint Capital equity research report

  22. Enterprise Value / Gallon of Capacity Based on Projected 2008 Year-end Production Capacity (1) $7.95 GPRE provides an ATTRACTIVE VALUE Per Gallon $4.70 $4. 47 $1.49 (1) Based on Broadpoint Capital equity research report and October 30, 2007 closing prices.

  23. Projected Sources and Uses of Funds for Each Plant

  24. Operating Results and Financial Condition

  25. Investment Recap • Significant near-term revenue ramp • Efficient, low-cost producer with vertical integration corn supply strategy • Disciplined growth strategy through targeted acquisitions • Experienced management team with significant ownership stake • One of the most attractive capacity valuations in the industry • Fast-growing industry with strong bipartisan political support

  26. Shenandoah Plant

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