I also do not know what is copper inside there to get shredded off like that.
On your rattle upon start-up...there is an up-dated oil check valve for the M119 in the filter housing that may need to be put in, there also could be a few clogged oil tubes in there. I think your car has the early metal oil tubes which is good but they still can get crudded up.
As you know, the chain should never rattle in there....possibly the plastic chain rails are done and or the chain tensioner needs replacing too.
Best of luck...hope it is a simple fix for you.
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