Yesterday evening I got back late and opened the valve cover to assess the possibility of changing the head gasket. I notice that water has mixed with the engine oil. I told the 2 cousins of mine to soak up the water/oil and then spray a layer of WD40 over the areas to prevent rust. I don't know whether this is right but I suppose with a layer of oil, those metal won't get rusty so fast. It was late so we packed up and my cousins will continue next morning.

Now give it to me straight. Is the engine in bad shape?
Will replacing the head gasket and topping up with new oil and oil filter get the car to go again? After replacing head gaskets, what other things should I inspect and/or replace?

I've removed the spark plugs and they look dry to me. Does this means the compression chambers and valves are okay?

Getting the mechanic to come over will cost me plenty and if my assessment is right the labor will certainly double it. So, I'm counting on you bricksters to help me out on this one.

Thanks guys! Hope to hear from you all real quick.

Laozong