EXHIBIT 99.1

                                                               NEWS RELEASE
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For more information, contact:

Will Anderson
KVO Public Relations
(503) 221-2351

          OXIS COMPLETES ACQUISITION OF THEROX PHARMACEUTICALS, INC.

  OXIS RECEIVES FUNDING AND PROMISING COMPLEMENTARY THERAPEUTIC TECHNOLOGIES
                     FOR THE TREATMENT OF OXIDATIVE STRESS


PORTLAND, ORE. -- JULY 27, 1995 -- OXIS International, Inc. (NASDAQ: OXIS), a
world leader in antioxidant and free-radical scavenger technology, today
announced the completion of its latest acquisition, Philadelphia-based Therox
Pharmaceuticals, Inc.  The acquisition is the third in less than a year for
OXIS, and is an integral part of the Company's strategy to acquire leading
technologies that further solidify its leadership in high-value therapeutics to
treat diseases associated with oxidative stress.

The Therox acquisition provides OXIS with complementary technologies, corporate
and university partnerships, and seven patents in exchange for 1,440,000 shares
of OXIS common stock.  An additional $2 million may be earned by Therox
shareholders based on the successful commercialization of Therox technologies.
Two major Therox investors, S.R. One, Limited, the venture capital subsidiary of
SmithKline Beecham, and Brantley Venture Partners II L.P., have invested an
additional $1.5 million in OXIS in return for approximately 642,500 shares of
OXIS preferred stock.

"The acquisition of Therox is strategically significant from both a
technological as well as a product-portfolio perspective," stated Dr. Anna D.
Barker, President and CEO of OXIS. "The technological fit is exemplified by the
numerous patents and more than 100 novel antioxidant 

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compounds that Therox has synthesized and tested. These technologies promise to
add to OXIS' mid-term product opportunities and complement our short- and long-
term technology development strategy."

OXIS plans to initiate pre-clinical studies involving Therox's therapeutics, and
partner with pharmaceutical companies for clinical trials in the near future.
Therox's therapeutic compounds are dual-function molecules that combine
recognized drug action with antioxidant activity.  These dual-function molecules
may be useful for the treatment of remote tissue injury and various inflammatory
diseases.  Therox's discovery and development of powerful new drugs that combine
antioxidant activity with other key therapeutic effects, plus OXIS' portfolio of
low molecular weight antioxidants, may provide a promising source of new drugs
for the pharmaceutical industry.

OXIS International (NASDAQ: OXIS) is a drug development and diagnostic company
dedicated to the development of antioxidants and free-radical technology to
diagnose and treat diseases associated with oxidative stress.  The Company,
headquartered in Portland, Ore., has research facilities in Mountain View,
Calif. and near Paris, France.  For additional information, contact the Investor
Relations Department of OXIS International at 6040 N. Cutter Circle, Suite 317,
Portland, Oregon; phone (503) 283-3911; fax (503) 283-4058.

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