Thanks Dave, What a great web site. This really helps in understanding the issue I'm having. From what I've read, my lifters are correct. The new lifters do have the annulus around the lifter body. I had to go through 4 different heads to find a good one, and according to the casting numbers on my head, it's used in 56-62 235 engines.
So, if I take the #1 head bolt out and I do see oil what does that tell me? If I don't see oil, what does that tell me?
I guess I could run an external line from the out put to the external oil filter to the external oil port on the head, but I'd rather not. I put a lot of work into this and I like the engine the way it is.