Exhibit 99.1
( BW)(NY-RENCO-METALS) RENCO METALS, INC. ANNOUNCEMENT

      NEW YORK--(BUSINESS WIRE)--Aug. 3, 2001--Renco Metals, Inc. announced
today that Renco Metals and its wholly-owned subsidiary, Magnesium Corporation
of America (Magcorp), have filed voluntary petitions to reorganize their
businesses under Chapter 11 of the United States Bankruptcy Code. The filings
were made in the United States Bankruptcy Court for the Southern District of New
York.

      Magcorp has reached an agreement with its existing working capital lender
and, subject to court approval, expects to have a formal debtor-in-possession
facility in place shortly. Magcorp believes that the facility will provide ample
funding to maintain normalized business relationships with its vendors and
uninterrupted supply of products to its customers and for necessary capital
expenditures.

      While Magcorp has been able to meet its short term debt obligations,
liquidity problems arising primarily from price pressures created by foreign
imports have prevented Magcorp from generating sufficient profits to enable
Renco Metals to service its long term debt. Magcorp believes that such foreign
imports are unfair and illegal and is involved in proceedings before the United
States International Trade Commission to enforce existing trade laws.
Preliminary relief has been granted in these proceedings with final decisions
due later this year.

      Despite competitive pressures, Magcorp has continued to invest in the
modernization of its Rowley production plant. Magcorp has successfully begun the
installation of new electrolytic cell technology which Magcorp anticipates, when
completed by January 2002, will reduce chlorine emissions by 95% and
significantly increase manufacturing efficiencies.

      Renco Metals and Magcorp have been negotiating with an informal committee
of holders of Renco Metals' 11.5% Senior Notes due 2003 following Renco Metals'
default on a semi-annual interest payment due January 1, 2001. These discussions
have not yet resulted in a mutually acceptable restructuring agreement. Renco
Metals and Magcorp look forward to continuing these discussions with a view
towards reaching a consensual restructuring plan. Renco Metals and Magcorp filed
the Chapter 11 petitions to maximize the companies' going concern value for the
benefit of their creditors and equity holders.

      Forward-looking statements in this press release are made pursuant to the
safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
The words "expect," "anticipate," "intend," "believe," and similar expressions
are intended to identify such forward-looking statements; however, this press
release also contains other forward-looking statements. Magcorp and Renco Metals
caution that there are various important factors that could cause actual results
to differ materially from those indicated in the forward-looking statements;
accordingly, there can be no assurance that such indicated results will be
realized. Among such factors are: the overall viability of Magcorp's long-term
operational reorganization and financial restructuring plan; the involvement of
the Magcorp's and Renco Metals' secured and unsecured creditors in the Chapter
11 proceedings; the bankruptcy court approval of debtor in possession financing
and numerous other approvals incident to operations in Chapter 11 and ultimate
reorganization; competitive pressure in Magcorp's market; business conditions in
the metals industry; general economic conditions and the risk factors detailed
from time to time in Renco Metals' periodic reports filed with the Securities
and Exchange Commission. By making these forward-looking statements, Renco
Metals and Magcorp do not undertake to update them in any manner except as may
be required by the Securities and Exchange Commission under federal securities
laws.