I removed the culprit!
 

This is the part I had trouble removing. I pried it with a large flat screwdriver and carefully pulled it off after removing the circlip.

http://forums.pelicanparts.com/uploa...1150167331.jpg

Congrats, did mine for the first time over xmas. I had cross threaded the No.1 spark plug and I wanted to get a nice straight shot at chasing the thread, which I, actually my brother, was very successful at achieving.

This pic says it all...
 

Here's where I'm at now...


http://forums.pelicanparts.com/uploa...1150167873.jpg

Congrats. Mine is going back together. I need to paint the valve covers, did the valve adjust while engine was out, replace clutch cable, rebuild pedal cluster and mount trans on engine and install. Oh yeah, and reglue the engine compartment sound padding. Let me know if you need help. Cheers, Mike.