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A point that no one has touched on is TIMING. When I started my b18 bored out to 2 liter it was running hot. I had the timing set to the wrong side of TDC 10 to 15 degrees. The car started and ran reasonably well. It ran a whole lot better and cooler when I got it right. I say this because you mentioned that it runs on when you shut it down. Phil Singer had an article in Rolling a fwe issues ago that went into great detail on this very issue. I could send you a copy of it if you email me. My car runs indefinately at idle with no overheating now
Another possibility in the cooling department is the rad. The rad for the B18's is of a higher grade than the one for the B16's, you could consider getting a "Volvo" B18 rad not an after market one.
There is also a 5 blade plastic fan that came on the 122's I think, that is being used on a friends B20 in a 60 544 (with the smaller rad) and seems to do the job.
Steve
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