Made Progress last week. Dragged the the baby up to Red Wing to have Dr Knoll take a look at it.
The patient seems to be lacking the appropriate markings for top dead center. There was no obvious marking through the viewport, and the mark on the flywheel was definitely not in the right place. A previous owner clearly didn't pay attention to reassembly, which might explain several things. John invented a new way to find TDC by Jamming a Screwdriver into the piston... I suppose the big gashes in the top of the piston will result in increased capacity. We pulled the Timing Belt cover off and looked at the balance shafts.... definitely not right. Supposed to be showing a "0" indicator in the cam cover... nothing. Another mis-assmbly no doubt.
Cylinders are running very dry. It didn't run dry while I had it for more than a minute total... two 30 second runs to experiment. However, I do not know how long the mechanic who had the car ran it while he was looking for problems. We'll have to pull the head to look for damage, (unless we can come up with a bore scope.)
I've got a gasket set ordered, have bearings in hand. We should be ready for surgery soon.