Update on the suspected cam problem. As the kids say, my bad. Looks as tho the lifters ARE working properly. The #5 exhaust valve was not burnt but did have heavy accumulation of unburnt oil residue. Should I go ahead and take out the lifters? They all apeared to be moving and no sign of damage which puzzles me because there was a bent valve in #5. All the other cylinders and corresponding valves looked normal, a slight layer of burnt carbon up but no more than expected from an engine with 200,000+ miles. One other thing worth noting, #2 and #3 piston heads had been "kissed" by a valve. My guess is I ought to take out the #5 piston and see what the rings and bore look like. If I can get that cylinder cleared up, I think it ought to run ok. All other cylinders tested at 140 to 135 on the compression test.
