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HRD TO CONTEST LAWSUIT

 HRD TO CONTEST LAWSUIT
 PALMERTON, Pa., Jan. 8 /PRNewswire/ -- Horsehead Resource


Development Co., Inc. ("HRD") (NASDAQ: HHRD), yesterday received a copy of the complaint in a civil action filed by the Environmental Protection Agency (EPA) and Department of Justice against HRD in the U.S. District Court for the Middle District of Pennsylvania. The complaint alleges violations of certain environmental laws at the company's Palmerton facility.
 HRD officials said today they were very surprised by the filing of the lawsuit and will vigorously defend the company's positions. HRD further understood that a recent executive order discouraged litigation of this type prior to good faith negotiations.
 HRD has been and is currently in negotiations on a relevant agreement with the Pennsylvania Department of Environmental Resources (PADER), the lead agency for the administration and enforcement of the applicable laws and regulations. In recent meetings, EPA officials encouraged the company to continue discussions with the PADER. HRD believes that its proposal to the PADER would address many of the items in the complaint. HRD has already begun a three-year program of plant modernization that will entail implementation of the company's proposal to the PADER.
 HRD is a leader in specialized hazardous waste/resource recovery services emphasizing the recovery of zinc, lead and cadmium from electric arc furnace dust, and the recycling of these materials into useful products.
 -0- 1/8/92
 /CONTACT: Robert L. Hoguet of HRD, 212-527-3025/
 (HHRD) CO: Horsehead Resource Development Co., Inc. ST: Pennsylvania IN: SU:


GK-TS -- NY056 -- 7586 01/08/92 08:13 EST
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Publication:PR Newswire
Date:Jan 8, 1992
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