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That is not a 2-stroke, which should be obvious as you stated you reseated the valves. Make sure your timing/points are OK also. Sometimes these engines will shear the key on the flywheel which botches the timing. Most likely you just need to adjust the high speed mixture if it is running ok at idle. Once warmed up, the engine requires a leaner mixture than when initially starting so turning the main in slightly should do it.
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