There are two separate things happening IMO.
(Incidentally, I'm not trying to be a blowhard here. I think I'm 99% certain about this stuff, but please apply a big "IMO" to all my comments on this.)
1) a sound is created using multiple fx feeding back. The delay-filter combo sounds highly plausible.
2) a digital delay takes a 1-second sample of that sound and holds it in an indefinite loop. Then, at the very end, the player turns the rate knob down slowly, and then mutes the signal at the very end.
Thing # 2 sounds so much like results I've gotten with a DeltaLab Effectron II that I would not be surprised if that's exactly what they used. All you do is feed it audio and then hit the infinite hold button, then adjust the rate. Although ART and a bunch of other companies made very similar products around that time, and there are plugin emulations widely available.
I'd say you need to either:
(a) use two fx, one to create an approximation of the sound and the other to loop it; or
(b) use the one delay you have to approximate only one of the two qualities:
-self-oscillation, which maybe you would just fade out with a volume pedal, without the even sound of the looping or the slowdown at the end; or
-looping with slow-down, in which case the actual sound being looped might be some other random chord/sound from your guitarist or a sampler unit or whatever.