UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549



                                  SCHEDULE 13D




                    Under the Securities Exchange Act of 1934
   
                               (Amendment No. 1)*
    

                              LSB Industries, Inc.
- --------------------------------------------------------------------------------
                                (Name of Issuer)

                     Common Stock, par value $.10 per share
- --------------------------------------------------------------------------------
                         (Title of Class of Securities)

                                    502160104
- --------------------------------------------------------------------------------
                                 (CUSIP Number)

                            Louis J. Bevilacqua, Esq.
                          Cadwalader, Wickersham & Taft
                                 100 Maiden Lane
                            New York, New York 10038
                                 (212) 504-6057
- --------------------------------------------------------------------------------
(Name,  Address and Telephone Number of Person Authorized to Receive Notices and
Communications)

   
                                October 14, 1997
    
- --------------------------------------------------------------------------------
             (Date of Event which Requires Filing of this Statement)

If the filing person has previously  filed a statement on Schedule 13G to report
the  acquisition  which is the subject of this  Schedule 13D, and is filing this
schedule because of Rule 13d-1(b)(3) or (4), check the following box |_|.

Note: Six copies of this statement, including all exhibits, should be filed with
the  Commission.  See Rule  13d-1(a) for other  parties to whom copies are to be
sent.

*The  remainder of this cover page shall be filled out for a reporting  person's
initial filing on this form with respect to the subject class of securities, and
for  any  subsequent   amendment   containing   information  which  would  alter
disclosures provided in a prior cover page.

The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the  Securities  Exchange  Act of
1934 ("Act") or otherwise  subject to the liabilities of that section of the Act
but  shall be  subject  to all other  provisions  of the Act  (however,  see the
Notes).





- -----------------------------------                                       
   
       CUSIP No. 502160104                               13D              
                                                                          
    
- -----------------------------------                                       

- ------- ------------------------------------------------------------------------
1       NAME OF REPORTING PERSON  Wynnefield Partners Small Cap Value L.P.
        S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
        13-3688497
- ------- ------------------------------------------------------------------------
2       CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
        (a) |X| (b) |_|
- ------- ------------------------------------------------------------------------
3       SEC USE ONLY
- ------- ------------------------------------------------------------------------
4       SOURCE OF FUNDS (See Instructions)
        WC
- ------- ------------------------------------------------------------------------
5       CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 
        ITEMS 2(d) or 2(e) |_|
- ------- ------------------------------------------------------------------------
6       CITIZENSHIP OR PLACE OF ORGANIZATION
        Delaware
- -------- -----------------------------------------------------------------------
                      7      SOLE VOTING POWER
   
                             425,720
    
                      ------ ---------------------------------------------------
     NUMBER OF        8      SHARED VOTING POWER
       SHARES                0
    BENEFICIALLY
      OWNED BY
                      ------ ---------------------------------------------------
        EACH          9      SOLE DISPOSITIVE POWER
   
     REPORTING               425,720
       PERSON
    
        WITH
                      ------ ---------------------------------------------------
                      10     SHARED DISPOSITIVE POWER
                             0
- ------- ------------------------------------------------------------------------
11      AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
   
        425,720
    
- ------- ------------------------------------------------------------------------
12      CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 
        (See Instructions) |_|
- ------- ------------------------------------------------------------------------
13      PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
   
        3.3%
    
- ------- ------------------------------------------------------------------------
14      TYPE OF REPORTING PERSON (See Instructions)
        PN
- ------- ------------------------------------------------------------------------






- ------- ------------------------------------------------------------------------
1       NAME OF REPORTING PERSON  Wynnefield Partners Small Cap Value L.P. I
        S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
        13-3953291
- ------- ------------------------------------------------------------------------
2       CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
        (a) |X| (b) |_|
- ------- ------------------------------------------------------------------------
3       SEC USE ONLY
- ------- ------------------------------------------------------------------------
4       SOURCE OF FUNDS (See Instructions)
        WC
- ------- ------------------------------------------------------------------------
5       CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 
        ITEMS 2(d) or 2(e) |_|
- ------- ------------------------------------------------------------------------
6       CITIZENSHIP OR PLACE OF ORGANIZATION
        Delaware
- ------- ------------------------------------------------------------------------
                      7      SOLE VOTING POWER
   
                             214,780
    
                      ------ ---------------------------------------------------
     NUMBER OF        8      SHARED VOTING POWER
       SHARES                0
    BENEFICIALLY
      OWNED BY
                      ------ ---------------------------------------------------
        EACH          9      SOLE DISPOSITIVE POWER
   
     REPORTING               214,780
       PERSON
    
        WITH
                      ------ ---------------------------------------------------
                      10     SHARED DISPOSITIVE POWER
                             0
- ------- ------------------------------------------------------------------------
11      AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
   
        214,780
    
- ------- ------------------------------------------------------------------------
12      CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 
        (See Instructions) |_|

- ------- ------------------------------------------------------------------------
13      PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
   
        1.7%
    
- ------- ------------------------------------------------------------------------
14      TYPE OF REPORTING PERSON (See Instructions)
        PN
- ------- ------------------------------------------------------------------------






- ------- ------------------------------------------------------------------------
1       NAME OF REPORTING PERSON  Channel Partnership II L.P.
        S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
        22-3215653
- ------- ------------------------------------------------------------------------
2       CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
        (a) |X| (b) |_|
- ------- ------------------------------------------------------------------------
3       SEC USE ONLY
- ------- ------------------------------------------------------------------------
4       SOURCE OF FUNDS (See Instructions)
        WC
- ------- ------------------------------------------------------------------------
5       CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 
        ITEMS 2(d) or 2(e) |_|
- ------- ------------------------------------------------------------------------
6       CITIZENSHIP OR PLACE OF ORGANIZATION
        New York
- ------- ------------------------------------------------------------------------
                      7      SOLE VOTING POWER
                             24,000
                      ------ ---------------------------------------------------
     NUMBER OF        8      SHARED VOTING POWER
       SHARES                0
    BENEFICIALLY
      OWNED BY
                      ------ ---------------------------------------------------
        EACH          9      SOLE DISPOSITIVE POWER
     REPORTING               24,000
       PERSON
        WITH
                      ------ ---------------------------------------------------
                      10     SHARED DISPOSITIVE POWER
                             0
- ------- ------------------------------------------------------------------------
11      AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
        24,000
- ------- ------------------------------------------------------------------------
12      CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 
        (See Instructions) |_|
- ------- ------------------------------------------------------------------------
13      PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
        0.2%
- ------- ------------------------------------------------------------------------
14      TYPE OF REPORTING PERSON (See Instructions)
        PN
- ------- ------------------------------------------------------------------------






- ------- ------------------------------------------------------------------------
1       NAME OF REPORTING PERSON  Wynnefield Small Cap Value Offshore Fund Ltd
        S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
- ------- ------------------------------------------------------------------------
2       CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
        (a) |X| (b) |_|
- ------- ------------------------------------------------------------------------
3       SEC USE ONLY
- ------- ------------------------------------------------------------------------
4       SOURCE OF FUNDS (See Instructions)
        WC
- ------- ------------------------------------------------------------------------
5       CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 
        ITEMS 2(d) or 2(e) |_|
- ------- ------------------------------------------------------------------------
6       CITIZENSHIP OR PLACE OF ORGANIZATION
        Cayman Islands
- ------- ------------------------------------------------------------------------
                      7      SOLE VOTING POWER
   
                             145,500
    
                      ------ ---------------------------------------------------
     NUMBER OF        8      SHARED VOTING POWER
       SHARES                0
    BENEFICIALLY
      OWNED BY
                      ------ ---------------------------------------------------
        EACH          9      SOLE DISPOSITIVE POWER
   
     REPORTING               145,500
       PERSON                
    
        WITH
                      ------ ---------------------------------------------------
                      10     SHARED DISPOSITIVE POWER
                             0
- ------- ------------------------------------------------------------------------
11      AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
   
        145,500
    
- ------- ------------------------------------------------------------------------
12      CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 
        (See Instructions) |_|
- ------- ------------------------------------------------------------------------
13      PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
   
        1.1%
    
- ------- ------------------------------------------------------------------------
14      TYPE OF REPORTING PERSON (See Instructions)
        PN
- ------- ------------------------------------------------------------------------






- ------- ------------------------------------------------------------------------
1       NAME OF REPORTING PERSON  Nelson Obus
        S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
        ###-##-####
- ------- ------------------------------------------------------------------------
2       CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions)
        (a) |X| (b) |_|
- ------- ------------------------------------------------------------------------
3       SEC USE ONLY
- ------- ------------------------------------------------------------------------
4       SOURCE OF FUNDS (See Instructions)
        PF
- ------- ------------------------------------------------------------------------
5       CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO 
        ITEMS 2(d) or 2(e) |_|
- ------- ------------------------------------------------------------------------
6       CITIZENSHIP OR PLACE OF ORGANIZATION
        U.S.A.
- ------- ------------------------------------------------------------------------
                      7      SOLE VOTING POWER
                             20,000
                      ------ ---------------------------------------------------
     NUMBER OF        8      SHARED VOTING POWER
       SHARES                0
    BENEFICIALLY
      OWNED BY
                      ------ ---------------------------------------------------
        EACH          9      SOLE DISPOSITIVE POWER
     REPORTING               20,000
       PERSON
        WITH
                      ------ ---------------------------------------------------
                      10     SHARED DISPOSITIVE POWER
                             0
- ------- ------------------------------------------------------------------------
11      AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
        20,000
- ------- ------------------------------------------------------------------------
12      CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 
        (See Instructions) |_|
- ------- ------------------------------------------------------------------------
13      PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
        0.2%
- ------- ------------------------------------------------------------------------
14      TYPE OF REPORTING PERSON (See Instructions)
        IN
- ------- ------------------------------------------------------------------------






       
   
     This  Amendment  No.  1 to  Schedule  13D  amends  Items  3, 5 and 7 of the
Schedule 13D, dated September 4, 1997 (the "Original  Schedule  13D"),  filed by
the  Reporting  Persons  to  reflect  subsequent  purchases  of Common  Stock by
Wynnefield,   Wynnefield  I  and  Wynnefield  Offshore.  Capitalized  terms  not
otherwise  defined herein shall have the meanings  ascribed to such terms in the
Original Schedule 13D.
    

Item 3.  Source and Amount of Funds or Other Consideration.

   
     Item 3 is amended by appending the following thereto:

     The source of the $426,623.20 used by Wynnefield to purchase its additional
89,375  shares  of Common  Stock  was its  working  capital.  The  source of the
$253,773.21  used by  Wynnefield I to purchase its  additional  53,125 shares of
Common  Stock was its  working  capital.  The source of the  $93,463.84  used by
Wynnefield Offshore to purchase its additional 19,800 shares of Common Stock was
its  working  capital.  No  funds  were  borrowed  by any of  PersonsWynnefield,
Wynnefield I or Wynnefield  Offshore in connection  with its purchases of Common
Stock.
    

       
Item 5.  Interest in Securities of the Issuer.

   
     Item 5(a) is amended by appending the following:

     As of the date of this Amendment No. 1: Wynnefield is the beneficial  owner
of 425,720  shares of Common  Stock,  or 3.3% of the  outstanding  Common Stock;
Wynnefield I is the beneficial  owner of 214,780 shares of Common Stock, or 1.7%
of the outstanding Common Stock;  Wynnefield Offshore is the beneficial owner of
1 45,500 shares of Common Stock,  or 1.1% of the outstanding  Common Stock;  and
the  Reporting  Persons  are the  beneficial  owner of 830,000  shares of Common
Stock, or 6.5% of the outstanding Common Stock.

     Item 5(b) is amended by appending the following:

     As of the date of this  Amendment No. 1:  Wynnefield  has the sole power to
vote,  or to direct  the vote of,  425,720  shares of Common  Stock and the sole
power to dispose of, or to direct the  disposition  of, 425,720 shares of Common
Stock;  Wynnefield  I has the  sole  power to vote,  or to  direct  the vote of,
214,780  shares of Common  Stock and the sole power to dispose  of, or to direct
the disposition of, 214,780 shares of Common Stock; Wynnefield Offshore the sole
power to vote, or to direct the vote of,  145,500 shares of Common Stock and the
sole power to dispose of, or to direct the  disposition  of,  145,500  shares of
Common  Stock;  and the  Reporting  Persons  have the sole power to vote,  or to
direct the vote of, 830,000 shares of Common Stock and the sole power to dispose
of, or to direct the disposition of, 830,000 shares of Common Stock.

     Item 5(c) is amended by appending the following:
    


                                               No. of           Price per
Reporting Person               Date       Shares Purchased        Share
- ----------------               ----       ----------------      ---------

   
Wynnefield................   09/04/97            32,175          $4.8402
                             09/25/97             5,200           4.6000
                             09/30/97             3,200           4.4481
                             10/06/97            12,800           4.5953
                             10/14/97            36,000           4.8310

Wynnefield I..............   09/04/97            17,325           4.8402
                             09/25/97             2,800           4.6000
                             09/30/97             1,800           4.4481
                             10/06/97             7,200           4.5953
                             10/14/97            24,000           4.8310

Wynnefield Offshore........  09/04/97            10,500           4.8402
                             09/26/97             2,500           4.5750
                             09/29/97               400           4.3750
                             09/30/97               400           4.4481
                             10/03/97             3,000           4.5500
                             10/07/97             3,000           4.6750
             
    

All  of  the  foregoing   purchases   were  made  in  the  open  market  through
broker-dealers.

       
Item 7.  Material to Be Filed as Exhibits.

   
Exhibit 99.1    --  Joint Filing Agreement.
Exhibit 99.2    --  Letter from the Reporting Persons to the Chairman of 
                    the Board and President of the Company, dated 
                    September 4, 1997.*
Exhibit 99.3    --  Letter from the Reporting Persons to the Board of Directors
                    of the Company, dated September 4, 1997.*
Exhibit 99.4    --  Letter from the Reporting Persons to the Special Committee 
                    of the Board of Directors of the Company, dated 
                    October 17, 1997.

*    Previously filed.
    







                                    SIGNATURE

     After  reasonable  inquiry and to the best of my  knowledge  and belief,  I
certify that the information  set forth in this statement is true,  complete and
correct.

   
     Date:  October 17, 1997
    
                            WYNNEFIELD PARTNERS SMALL CAP VALUE L.P.

                            By: WYNNEFIELD CAPITAL MANAGEMENT, LLC,
                                as general partner


                                By:   /S/ NELSON OBUS
                                    -------------------------
                                        Nelson Obus
                                      Managing Member

                            WYNNEFIELD PARTNERS SMALL CAP VALUE L.P. I

                            By: WYNNEFIELD CAPITAL MANAGEMENT, LLC,
                                as general partner


                                By:    /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                       Managing Member

                            CHANNEL PARTNERSHIP II L.P.


                            By:        /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                       General Partner

                            WYNNEFIELD SMALL CAP VALUE OFFSHORE FUND LTD

                            By: WYNNEFIELD CAPITAL, INC.,
                                as general partner


                                By:    /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                          President


                                       /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus


     The  Amendment No. 1 to Schedule  13D,  relating to the common  stock,  par
value $.10 per share, of LSB Industries,  Inc., dated October 17, 1997, is filed
on behalf of Wynnefield Partners Small Cap Value L.P., Wynnefield Partners Small
Cap Value  L.P.  I,  Channel  Partnership  II L.P.,  Wynnefield  Small Cap Value
Offshore Fund Ltd and Nelson Obus.

     Dated:  October 17, 1997

                            WYNNEFIELD PARTNERS SMALL CAP VALUE L.P.

                            By: WYNNEFIELD CAPITAL MANAGEMENT, LLC,
                                as general partner


                                By:   /S/ NELSON OBUS
                                    -------------------------
                                        Nelson Obus
                                      Managing Member

                            WYNNEFIELD PARTNERS SMALL CAP VALUE L.P. I

                            By: WYNNEFIELD CAPITAL MANAGEMENT, LLC,
                                as general partner


                                By:    /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                       Managing Member

                            CHANNEL PARTNERSHIP II L.P.


                            By:        /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                       General Partner

                            WYNNEFIELD SMALL CAP VALUE OFFSHORE FUND LTD

                            By: WYNNEFIELD CAPITAL, INC.,
                                as general partner


                                By:    /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                          President


                                       /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus


                    WYNNEFIELD PARTNERS SMALL CAP VALUE L.P.
                   WYNNEFIELD PARTNERS SMALL CAP VALUE L.P. I
                           CHANNEL PARTNERSHIP II L.P.
                  WYNNEFIELD SMALL CAP VALUE OFFSHORE FUND LTD
                                   NELSON OBUS
                                 ONE PENN PLAZA
                                   SUITE 4720
                            NEW YORK, NEW YORK 10119


                                October 17, 1997




Mr. Bernard G. Ille
Chairman
Special Committee of the Board of Directors
LSB Industries, Inc.
11044 Magnolia Park
Oklahoma City, OK 73120

Dear Mr. Ille:

     I am in  receipt  of a  September  29 letter  from Mr.  Gary W.  Derrick of
Derrick & Briggs in Oklahoma City detailing the creation of a Special  Committee
chaired by you to consider SLB Corporation's preferred stock proposal. I applaud
the creation of such a committee to insure appropriate oversight of what appears
to me to be a most controversial proposal.

     As  mentioned  in my letter to the Board of  September  4, 1997,  I am very
serious about being given an opportunity  to present an alternative  proposal to
the  Special  Committee.  To this end,  I  request  from the  Special  Committee
information  detailing LSB's need for a cash infusion at this time. With this in
hand, I will prepare our  proposal  and expect an  opportunity  to meet with the
Special  Committee to discuss our proposal.  If you choose not to cooperate with
me along these  suggested  lines,  I intend to move forward with an  unsolicited
proposal.

     I look forward to hearing from you at your earliest convenience.

                                                     Sincerely,

                            WYNNEFIELD PARTNERS SMALL CAP VALUE L.P.

                            By: WYNNEFIELD CAPITAL MANAGEMENT, LLC,
                                as general partner


                                By:   /S/ NELSON OBUS
                                    -------------------------
                                        Nelson Obus
                                      Managing Member

                            WYNNEFIELD PARTNERS SMALL CAP VALUE L.P. I

                            By: WYNNEFIELD CAPITAL MANAGEMENT, LLC,
                                as general partner


                                By:    /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                       Managing Member

                            CHANNEL PARTNERSHIP II L.P.


                            By:        /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                       General Partner

                            WYNNEFIELD SMALL CAP VALUE OFFSHORE FUND LTD

                            By: WYNNEFIELD CAPITAL, INC.,
                                as general partner


                                By:    /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus
                                          President


                                       /S/ NELSON OBUS
                                    -------------------------
                                         Nelson Obus