When the piston sleeves were out, was the sealing and seating surface cleaned thoroughly?
The spec calls for the top of the sleeve to be .002 to .0045 above the block surface. If any are standing higher, the head gasket will not seal. May want to have the head checked for cracks. If it was torqued down on uneven sleeves, or has ever been overheated, it could be warped or cracked.
Did you retorque the head bolts after the first start up? Might try another retorque if the head is still on. Is the thermostat in and working, getting it up to temperature?
There is also a history of block cracking on those, up between the sleeve bores in the block web.
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Today's Featured Article - Tuning-Up Your Tractor: Secondary Ignition Wires and Distributor - by Curtis Von Fange. In our last episode we spent the entire day checking out the spark plugs. Is that efficency? Actually, it took more time to explain than it really did to do the inspection. At any rate we decided that a compression test was in order so we could verify the internal engine status. That way we wouldn't buy any tune up parts until we were sure that the engine was in reasonable mechanical condition. Our tests showed a fictional compression reading of 85, 80, 82 and 86 psi. That is well within a
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