LSB Industries Inc., Oklahoma City, Okla., reported on Dec. 6 that the ammonia plant at its Pryor, Okla., chemical facility resumed production on Dec. 4. Pryor was taken out of service in September to repair damage to some of the ammonia plant’s electrical controls, wiring, and piping caused by a Sept. 23 fire (GM Sept. 29, p. 1).
While completing repairs, the company opted to replace the process gas pre-heat system at Pryor (GM Nov. 3, p. 1). As a result, LSB does not anticipate a turnaround at Pryor in 2018.
LSB management expects that the EBITDA impact resulting from the expenses related to the repairs and upgrades at Pryor, the excess cost of purchasing UAN versus producing it in order to meet customer commitments, and the reduced absorption of fixed costs will be between $5.5 million to $6.0 million for the fourth quarter of 2017.