This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

LSB Industries, Inc. Reports Progress On El Dorado, Arkansas And Pryor, Oklahoma Chemical Facilities

Stocks in this article: LXU

LSB Industries, Inc. (the “Company”) (NYSE: LXU) released an update on progress in certain areas of its chemical facilities located in El Dorado, Arkansas (“El Dorado Facility”) and Pryor, Oklahoma (“Pryor Facility”).

El Dorado Facility

The Company announced on May 15, 2012 that the El Dorado Facility suffered major damage to its DSN 98% concentrated nitric acid (“DSN”) plant and peripheral damage to other plants at that location. On June 5, 2012, the Company provided an assessment of the damages and its plan to resume production at the El Dorado Facility. As planned, we restarted regular nitric acid and ammonium nitrate production, on a partial basis in June, and we are on track to increase that production during July and August, as various plants are brought back on-line, as per our originally announced timetable.

Following is a detailed update:

  • DSN concentrated nitric acid plant – We have determined that repair of this plant is not feasible. The Company intends to replace the nitric acid production capacity lost by this event with a new nitric acid plant. Engineering is underway to determine the specification for the new acid plant. Before the May 15 th event, the DSN concentrated nitric acid plant produced approximately 20% of the nitric acid manufactured at the El Dorado Facility.
  • Other “regular” nitric acid plants – The three other nitric acid plants, which produce approximately 80% of the nitric acid at the El Dorado Facility in concentrations from 56% to 63%, sustained less damage and are being brought back on-line. The first of these three nitric acid plants has returned to full production, and the other two should restart later this month and August.
  • Ammonium Nitrate Prill plants – Both the high density and low density ammonium nitrate prill plants are ready for full production as acid production continues to be restored. These prill plants are currently operating at less than full capacity due to limited availability of feedstock.
  • Sulfuric acid plant – Production at this plant should resume before year end. Before the May 15 th event, sulfuric acid was approximately 8% of the El Dorado Facility sales.
  • Transportation – All loading and unloading facilities are fully operational.
  • Control systems – The temporary nitric acid control room is operational and plans are being prepared for a new permanent control facility.
  • General – Repairs to the permanent electrical service and various support facilities are nearing completion.
  • Insurance - The Company is continuing to work with its insurance carriers and is making good progress.

Pryor Facility

During March 2012 the urea plant was taken out of operation to repair a break in the reactor’s stainless steel liner. On April 25 th we determined that the break could not be repaired, so we decided to replace the liner and announced that the urea plant would be down through the second quarter.

The liner replacement is completed and UAN production has resumed. During the time that the urea plant was down, we continued to produce and sell ammonia and downstream products.

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs