It looks like you have a "rebuildable core" engine there- - - - -strip it down to a bare block, get the cylinders bored just enough to straighten out the taper wear, regrind the crankshaft if necessary, and install a new camshaft and solid lifters. (Melling CCS-1). The only hydraulic lifters that are available these days are made overseas, and the failure rate right out of the box is ridiculous. It's possible to use different (less expensive) lifters for AMC/MOPAR engines by sleeving down the stovebolt lifter bores a few thousandths. Drop me a PM if you like- - - - -I'm working on developing some major modifications that use newer, less expensive and more available rebuilding parts for non-stovebolt engines.
Jerry

"It is better to be silent and be thought a fool than to speak and eliminate all doubt!" - Abraham Lincoln
Cringe and wail in fear, Eloi- - - - -we Morlocks are on the hunt!
There is nothing noble in being superior to your fellow man; true nobility is being superior to your former self. - Ernest Hemingway
Love your enemies and drive 'em nuts!