Timing won't effect those values. You either have a blown head gasket between 1 & 2 (Very front cylinder is number 1) or the rings are completely gone on those two cylinders or the pistons are coming apart. Oil going completely black on a diesel is not unheard of, now the metallic on the dipstick on the other hand is not a good sign. As far a getting another tractor..... can you do the rebuild work yourself? They sell the kits to do a rebuild of a 23C on this site. If you decide to rebuild it your self there are other things that you do that make it start and run better. Also, you when it is apart you can check/fix any timing chain issues. On mine the chain was stretched and the tensioner was worn out and binding. I never checked the valve timing prior to tear down but given the state of the tensioner and the chain the valve and injector timing wasn't where it needed to be for decent starting and running. Operating glow plugs are a must on an indirect diesel so it would seem. I heard that there is a way to convert these motors to direct inject but I haven't fully investigated that option as of yet, but I will when the time comes.
If you decide to rebuild it yourself there are a number of people on this site that can provide valuable information to help you though process.
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Today's Featured Article - Identifying Tractor Noises - by Curtis Von Fange. Listening To Your Tractor : Part 3 - In this series we are continuing to learn the fine art of listening to our tractor in hopes of keeping it running longer. One particularly important facet is to hear and identify the particular noises that our
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