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Head Gasket replacement and engine rebuild? 200

I am replacing the head gasket on my 1983 244T (296k miles. Valve job done at 120k miles). It developed a small coolant leak at the rear of the engine directly above the bolt that hold the heater pipe to the engine. I replaced the heater pipe (dealer still had it) and the water pump before I could determine that it was actually the head gasket. Couldn't see where the leak was coming from without droping the exhaust manifold and turbo. Anyway, I have the head off (head bolts were fun). The compression is still within specs but the car burns oil. The costs for the valve job and resurfacing the head, pressure test, etc. is $284 (this is the same shop that my volvo dealer uses for machine work. I have a good relationship with my dealer, part people and the service mechanics). However, since the head is off, what do I need to do to clean up the block? If I'm not rebuilding the engine at this point?

Also, (please answer the first question), how much of a pain is it for me to remove the remaining portion of the engine (yes, I have the bently manual) and get the engine rebuilt by the same machine shop (yes they will rebuild it) and for me to put it back together?

Thanks,

Lawren

1983 244T (296k miles, black, manual)
1995 850 T5R (91k miles, black)
1970 Plymouth Barracuda (340 Cuda, in-violet purple, four speed)






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