Helping a friend with Her Website....

So I'm helping a friend with her website and she asked me to make her navigation bar for her. Easy enough. The catch was that she wanted to make it look like it was punched into metal and then rusted. That posed to be a little harder. I thought about it and I was initially going to do it in 3d. Then after thinking it through I though "I can do this entirely in photoshop and it would be easier to modify if need be. Then I don't have to worry about shaders and lighting and rendering... all that good stuff."

Here's the result:

Entirely don't in photoshop with a series of masks, blending modes and layer styles. I like the result. I think I may make a tutorial on how I did it.