Chip, I have been watching you for some time with a "keen" interest. For what it is worth I vote that you pull the cam and "eye-ball" that sucker and the gears real close. If you can't see something wrong, take it to a good machinist and ask him to. I wouldn't run it anymore as it is. You are probably gonna need to clean out all the "chips" any-ol-who.
I have often found that most problems with these engines are due to the abilities of the man with the wrench, but I don't think that is the case here. Looks to me like some machinist messed up on this one. There are some sloppy-joes out there from time to time.
Oly in Oregon
Rest in Peace1945 GMC COE Victory Truck
1953 Willys CJ3B
1955 Chevy 1st series 3/4-ton
1958 WIFE Last series
Never say "Whoa" in a mud hole