LSB to spend millions to satisfy EPA

Washington — LSB Industries Inc., Oklahoma City, the largest merchant manufacturer of concentrated nitric acid in North America, and four of its subsidiaries have agreed to reduce emissions of nitrogen oxides (NOx) by meeting emission limits that are among the nation’s lowest for the industry at plants in Alabama, Arkansas, Oklahoma, and Texas, the U.S. Environmental Protection Agency (EPA) and Department of Justice have announced. EPA estimates that the settlement measures will cut NOx emissions by more than 800 st/y, directly benefitting surrounding communities, which include low-income and minority populations living near the Arkansas and Texas plants. LSB estimates it will cost $6.3-$11.7 million to implement the measures. LSB and its subsidiaries will also pay a total penalty of $725,000 to resolve alleged violations of the Clean Air Act and applicable Oklahoma state law. In addition to the penalty, the companies must continuously monitor emissions and make any necessary operational improvements, such as installing new pollution controls or upgrading current controls to meet the new NOx limits. The settlement applies to the ten nitric acid manufacturing plants owned or operated by the following Oklahoma City-based LSB subsidiaries: El Dorado Chemical Co., in El Dorado, Ark. (four plants); Cherokee Nitrogen Co. in Cherokee, Ala. (two plants); El Dorado Nitrogen Co. in Pryor, Okla. (three plants); and El Dorado Nitrogen Co. in Baytown, Texas (one plant). The complaint, filed concurrently with the settlement, alleges that the Cherokee, El Dorado, and Pryor subsidiaries constructed or made modifications to their plants that resulted in increased emissions of NOx without first obtaining pre-construction permits and installing pollution controls. The complaint does not allege any violations regarding the Texas facility. The companies have also agreed to spend $150,000 to remediate and reforest ten acres of land with acidified soils located near El Dorado, Ark. The States of Oklahoma and Alabama are co-plaintiffs and will receive a portion of the total penalty, with $206,250 for the Oklahoma Department of Environmental Quality, and $156,250 to the Alabama Department of Environmental Management.