On February 8, 2022, Highwater Ethanol, LLC, and Compeer Financial, PCA f/k/a AgStar Financial Services, PCA, as administrative agent executed a First Amendment to the Third Amended and Restated Credit Agreement, which amends the Third Amended and Restated Credit Agreement dated March 15, 2021. The primary purpose of the First Amendment was to modify the interest rate for the Term Revolving Loan and the Revolving Line of Credit, effective March 1, 2022. The First Amendment removed references to the LIBOR rate and provided that the Term Revolving Loan and the Revolving Line of Credit Loan will each accrue interest at a variable interest rate based on the Wall Street Journal's Prime Rate plus ten basis points with a minimum interest rate of 2.10%.

The Revolving Line of Credit Loan, which was set to mature on March 15, 2022, was also extended until January 22, 2023. The First Amendment also provided for a limited waiver by Compeer of any default resulting from the Company's capital expenditures exceeding the amount permitted during the 2021 fiscal year.