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Clicked too soon.
I ask because some '98s have the newer '99 on up manual tensioner that was used on late '98s BUT the books don't tell anyone to replace it with the T-belt at 70K miles. It'd be easy to not notice a potential, future problem with it so I'd have to think that the dealer tech couldn't be at fault.
The same exact manual tensioner on the '99 on up cars is suppose to be routinely replaced with the T-belt at 105K miles (they increased the belt life too) SO apparently Volvo thinks both the belt and tensioner will last at least that long.
I've replaced many T-belts with both the older, automatic type and newer manual type tensioners and (knock on wood) have not ever seen one problem afterwords with either type. I'd suspect that your car has an unusual problem and pinning fault won't be easy nor would anyone want to admit any guilt.
As far as damage, whoever removes the cyl head will find several bent valves and probably damaged valve guides too, best replaced by a machine shop.
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