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Hello Clalian. I rebuilt a b230ft engine this past summer and installed it in my 91 240 wagon. I'd suggest painting the block when you get it back from the machine shop, because all of the little brackets and doo dads will be off, and it will be free of grease and old paint. I'd place the block on an engine stand so you can rotate it and move it out of the way when you need to. There will lilely be some oil on the block from the machine work, so use some aresol brake cleaner (available at most auto parts stores) to remove this from the areas to be painted. Ford red is an almost exact match to the Volvo red. Clean and paint the oil pan at the same time, and it will look GREAT when you finish.
As far as a "break in" period, I don't think this is really necessary, since you are likely using the crank, rods, and cam you already have. I used synthetic (Mobile 1 15w50) with no "break-in" and not a single problem. I've put on about 6k miles since the redo, and nothing odd has surfaced. I drive it pretty hard . I'd change the oil and filter after about 1k miles to remove anything that might have found its way in there from machining and assembly.
The head bolts should NOT be retorqued after assembly, because they are "torque to yield" bolts (they stretch slightly when properly torqued). During first oil change just go around and check if anything has loosened up.
Hope this helps......have fun!
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