UNITED ~~STATES~~ ~~SECURITIES AND EXCHANGE COMMISSION~~ STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8-K

CURRENT ~~REPORT~~ ~~Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934~~ REPORT

~~Date~~Pursuant to ofSection ~~Report~~13 or 15(~~Date~~d) of ~~earliest~~the ~~event~~Securities ~~reported):~~Exchange ~~March 6,~~Act ~~2007~~of 1934

~~SOUTHERN~~Date of Report ~~IOWA~~(Date ~~BIOENERGY~~of ~~LLC~~earliest event reported): June 19, 2007

(Exact name of small business issuer as specified in its charter)

SOUTHERN IOWA BIOENERGY LLC
(Exact name of small business issuer as specified in its charter)

Iowa	2860	20-2226223
(State or other jurisdiction of incorporation or organization)	(Commission File Number)	(I.R.S. Employer Identification No.)

115 S. Linden Street Lamoni, Iowa 50140
(Address of principal executive offices)

(641) 784-3510
(Issuer's telephone number)

~~Iowa~~Check the appropriate ~~(State~~box orbelow ~~other~~if ~~jurisdiction~~the ofForm ~~incorporation~~8-K orfiling ~~organization)~~is ~~2860~~intended ~~(Commission~~to ~~File~~simultaneously satisfy ~~Number)~~the ~~20-2226223~~filing ~~(I.R.S.~~obligation ~~Employer~~of ~~Identification~~the Noregistrant under any of the following provisions (see General Instruction A.2. below):

~~115~~o Written communications pursuant S.to ~~Linden~~Rule ~~Street Lamoni,~~425 ~~Iowa~~under ~~50140 (Address~~the ofSecurities ~~principal~~Act ~~executive~~(17 ~~offices~~CFR 230.425)

~~(641) 784-3510~~o ~~(Issuer’s~~Soliciting material ~~telephone~~pursuant ~~number)~~to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

~~Check the appropriate box below if the Form 8~~o Pre-Kcommencement communications ~~filing~~pursuant ~~is intended~~ to ~~simultaneously~~Rule ~~satisfy the~~14d-2(b) ~~filing~~under ~~obligation of~~ the ~~registrant~~Exchange ~~under~~Act ~~any~~(17 ~~of the following provisions:~~CFR 240.14d-2(b))

o ~~Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) o~~ Pre-commencement communications pursuant to Rule ~~14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) o Pre-commencement communications pursuant to Rule~~ 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 1 2.0103 ~~Entry~~Creation ~~into~~of a ~~Material~~Direct ~~Definitive~~Financial ~~Agreement~~Obligation of a Registrant

~~Consulting~~Financial Assistance ~~Agreement~~Award ~~between~~Contract ~~Third~~with ~~Inning~~the ~~Solutions, Inc. and Southern~~ Iowa ~~BioEnergy~~Department ~~LLC~~of Economic Development

On October ~~February 28~~5, ~~2007~~2005, the Iowa Department of Economic Development awarded to the Registrant ~~entered~~financial ~~into~~assistance ain ~~consulting~~the ~~agreement~~form ~~with~~of ~~Third~~Enterprise ~~Inning~~Zone benefits ~~Solutions~~ estimated at $3,371,774 ~~Inc.~~and ~~Third~~Value-Added ~~Inning~~Agricultural ~~Solutions~~Products ~~will~~and ~~serve~~Processes Financial asAssistance anProgram ~~independent~~(“VAAPFAP”) ~~consultant~~benefits toconsisting ~~the~~of ~~Registrant~~a $300,000 loan and ~~during~~a ~~the~~$100,000 ~~term~~forgivable loan. As a condition of receiving the ~~agreement~~financial assistance, ~~will~~the ~~devote~~Registrant ~~commercially~~executed ~~reasonable~~a ~~efforts~~Financial toAssistance ~~provide~~Contract ~~project~~with the ~~coordination,~~ Department ~~consulting~~which ~~and~~requires ~~advisory~~the ~~services~~Registrant to ~~the~~construct ~~Registrant~~and operate a 30-million-gallon ethanol plant in ~~connection~~Decatur ~~with~~County, ~~the~~Iowa. The Registrant has ~~development,~~ not yet ~~financing~~received any benefits under the Enterprise Zone program, ~~start-up~~but ~~and~~has ~~construction~~received proceeds offrom ~~our~~the ~~biodiesel~~VAAPFAP ~~plant~~loans.

~~Under~~On June 19, 2007, the ~~terms~~Registrant received notice from the Iowa Department of Economic Development (“the ~~agreement,~~Department”) that the Registrant ~~will~~is ~~pay~~in ~~Third~~default ~~Inning~~under ~~Solutions~~the Financial asAssistance ~~follows:~~Contract ~~(i) $50,000~~because ~~payable~~the ~~upon~~Registrant ~~execution~~changed the expected location of ~~the~~its ~~agreement;~~plant ~~(ii)~~and ~~$325,000,~~no ~~payable~~longer atintends ~~the~~to ~~time,~~construct ~~and~~its ~~only~~facility ~~if,~~in Decatur ~~Registrant~~ County, ~~executed~~Iowa. ~~senior~~Under ~~loan~~the ~~financing~~terms ~~documents~~of ~~enabling~~ the ~~groundbreaking~~Financial ~~for~~Assistance ~~our~~Contract, ~~project;~~the outstanding loan and ~~(iii)~~forgivable ~~$300,000,~~loan amounts become due and payable atto the Department ~~time,~~upon ~~and~~default. ~~only~~The ~~if,~~outstanding ~~construction~~principal of ~~our~~the ~~project~~VAAPFAP isloans ~~substantially~~is ~~complete within~~ in the ~~meaning~~amount of ~~the~~$400,000 ~~construction~~plus ~~agreement~~interest ~~relating~~at to the ~~project.~~rate Weof ~~will~~six ~~also reimburse~~percent ~~Third~~(6%) ~~Inning~~per ~~Solutions~~year. As ~~for~~of ~~reasonable~~June 19, ~~ordinary~~2007, ~~and~~the ~~necessary~~total ~~expenses~~direct ~~incurred~~financial byobligation ~~Third~~of the Registrant ~~Inning~~ to the inDepartment ~~performance~~is of$414,520. ~~its~~In ~~duties~~addition, ~~under~~the Registrant is no longer eligible to receive the ~~agreement~~Enterprise Zone benefits previously awarded.

Duties Under the Consulting Agreement

Under the terms of the agreement, Third Inning Solutions duties include, but are not limited to, the following:

(i) analyze equity and debt goals and assist with debt and equity financing structure; (ii) serve as project coordinator to secure build commitments; (iii) assist with review and analysis of all written debt financing proposals; (iv) assist with oversight and monitoring of construction team; (v) assist in negotiating contracts with product service providers; including, but not limited to, procurement agents, risk managers and marketing companies, etc.; and (vi) assist in marketing efforts.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

		~~SOUTHERN IOWA BIOENERGY LLC~~	SOUTHERN IOWA BIOENERGY LLC
March 6, 2007		/s/ William T. Higdon
	June 25, 2007		/s/ William T. Higdon
~~Date~~	Date	~~William T. Higdon, President~~	William T. Higdon, President

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