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Tim,
I hate to say this, and I might be an idiot, but I do not see the major problem in your photos. Are the cam lobes rough? Is the lobe shown ground down somewhat via contact with the rocker? The oil in your "non-oil contact areas" could be seaping from the rocker shaft. This could easily be fixed with the motor in it's current location and state by removing the rocker shafts, cleaning, and re-installing with RSR washers if the shafts are in good shape. You will also be removing the rockers so you can get a better look at the cams without removing them from the entire assembly.
But wait, in the bottom photo I do not see the head stud. Is it there? This could be the cause of the oil leak and would need addressing now.
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David
'83 SC Targa (sold  ) MANLY babyblue honda '00 F250 7.3L (MINE!)
'15 F250 Gas (Her Baby) '95 993 (sold )
I don't take scalps. I'm civilized like white man now, I shoot man in back.
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