Although I myself repaired a crack successfully with JB Weld in a transmission, I don't think I would trust it with an engine block crack, no matter how good the stuff is. If you think it's salvagable, then see if someone will weld it. Yes, you can weld iron. The block needs to be preheated in the weld area first. But if there's rust coming out, I really don't know how you would clean up the crack, since it's obviously not fresh.
I think it's time to go shopping for a new engine my friend.
These guys sell aluminum Stovebolt heads, replacement blocks, EFI, etc., etc. Check them out and see how much it would cost you to at least get a new block. And maybe they have complete crate motors:
http://www.waynemfgco.com/frame.htmlAlso, I have found 292 Stovebolts on the internet in the form of crate motors. They weren't very much either, I think a few grand for a stock rebuild crate engine. I don't have that link with me, it's at home. But I'll try to remember to get it and post here later.
