Billm,
Rule 1: Do no harm. Patience is the most important thing you can have.
The engine should be evaluated first. Deciding if it needs to come out or stay in, be rebuilt or scrapped, or can be run as is really determines what kind of a project you are going to have.
Drain the oil and see what comes out. Refill with clean oil. I like to take the head off and see what is going on in the cylinders, but you can try to free it up first if you like. Remove the plugs and spray a good amount of PB Blaster into the cylinders, walk away for 12 hrs. Do the same thing again and wait. Give each cylinder a couple squirts of light motor oil and then try to turn it over with a wrench, hand crank, or screw driver in the flywheel teeth. If it doesn't move, repeat the penetrating oil for a few more days. If it still doesn't move, take the head off.
If it does move, leave the plugs out, spread something over the inner fender to catch the oil spray and crank it with the starter. After a few turns, give the cylinders a good spray of WD-40 and crank again and watch to see if you get oil pressure on the gauge.
Then you can do new plugs and points, drain the gas tank, put a new fuel filter in front of the carb. Add fresh gas and try to start it.
