What a fight. Not only have I grown older with this project, I'm almost at the end.Not only have I pestered the entire human race to get information and individual tasks completed, but I had to download the Internet to my hard drive to collect all available information.
Valve seat height took a lucky shot from a shop in Michigan, and the step distance on the flywheel came from Mark at Falcon clutch.
Here are my 21 steps for getting the engine back in the car if anyone has anything to add and below that my break-in process for the engine. Below that are some interesting pix of what I'm doing:

1. Remove exhaust system and separate the pieces – there are new resonator and muffler in my office
2. Remove battery and have it charged – there is a new battery cover
3. Lower subframe and replace rear bushings, lower ball joints, hubs, Sway bar bushings, and bolts as necessary, paint rusty spots, clean and reassemble with new bolts if necessary adding new sway bar links
4. Fit engine to transmission after receiving balanced flywheel, check to see if I need new bolts for the transmission/engine connection
5. Fit up all engine peripherals – non-return valve, Vanos solenoid, fuel injectors, fuel line, fuel pump, vacuum pump, water pump, thermostat, tensioner, balancer, alternator, A/C pump, Intake manifold, vacuum tank -regulator- lines, Oil gauge fitting, all sensors, exhaust manifold, turbo w/used cartridge, aux water pump, rebuilt BOV, seal-up the oil-pan and fit with crush washer for drain plug. Clean the intake manifold before installing. Use the used cartridge for the turbo for the break-in. That would be the first 20-30 minutes of running the engine. Prepare to make the switch after that to the new cartridge.
6. ***Make sure you have all bolts for subframe, Engine to transmission, and transmission to body mounting (self-tapping and torque-to-yield) that need replacing
7. Clean everything including electrical spray/lube on all connections that are difficult to replace
8. Before installing engine make sure you have an entry path through the firewall for the oil-pump wiring, oil pressure gauge, water temp gauge…
9. When all is complete install engine. Check to make sure you have new transmission mounting bolts. There is a new valve cover to install
10. Install axles
11. Fill transmission and engine with oil
12. Reconnect A/C and call the portable guys to make sure they can fill the A/C without running the car
13. Wire up the oil pump and gauges, connect all electrics
14. Exhaust welded and refit to car correctly
15. Radiator installed. – see if you can find a fitting that will allow you to drain the radiator without pulling off the hose
16. If you can afford it buy an ICI pipe from Arric
17. Install intercooler with new clean fittings
18. Make sure all exposed tubing and wiring are heat protected.
19. Replace bumper, fender liners, new front discs and pads
20. Replace rear discs and pads if possible and install SS brake lines in the rear
21. Bleed system

 

Looking good! Keep us posted with results?