LSB Industries, Inc. Announces Completion Of Improvements To Increase Production At Pryor Facility

LSB Industries, Inc. (the “Company”) (NYSE: LXU) today announced that its chemical plant facility located in Pryor, Oklahoma (“Pryor facility”) completed a planned improvement project to increase anhydrous ammonia production levels. This project began on January 3, 2012 and was completed on February 3, 2012 during which time the plant was not in production. The Pryor facility produces anhydrous ammonia from natural gas, which is sold as anhydrous ammonia and is also the primary feedstock, along with urea, for the production of urea ammonia nitrate.

The permitted production level of ammonia at the plant is 700 tons per day (“TPD”), but due to production limitations caused by restrictions in the flow of process gas through heat exchangers and other mechanical restrictions, the ammonia plant was unable to sustain production above 500 TPD during 2011. The primary purpose of the improvement project was to correct those restrictions. Management believes this was accomplished and that production lost during the improvement project should be more than offset during the balance of 2012.

During this period, Pryor took advantage of the downtime to correct certain other identified mechanical issues which should minimize downtime later in the year.

LSB is a manufacturing, marketing and engineering company. LSB’s principal business activities consist of the manufacture and sale of commercial and residential climate control products, such as geothermal and water source heat pumps, modular geothermal chillers, hydronic fan coils, large custom air handlers, the manufacture and sale of chemical products for the agricultural, mining and, industrial markets, and the provision of specialized engineering services and other activities. LSB Industries is included in the Russell 2000 Index and the Russell 3000 Index.

This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Act of 1995. These forward-looking statements generally are identifiable by use of the words “believe,” “expects,” “intends,” “plans to,” “estimates,” “projects” or similar expressions, and such forward-looking statements include, but are not limited to, that management believes corrections at the Pryor plant have been accomplished, that production lost during the improvement project should be more than offset during the balance of 2012 and Pryor’s downtime later in the year should be minimized. Investors are cautioned that such forward-looking statements are not guarantees of future performance and involve risk and uncertainties, and that actual results may different materially from the forward-looking statements as a result of various factors, including, but not limited to, general economic conditions and unexpected additional maintenance issues at the plant.

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