More than likely it has worn piston pins.  However it could be a bad rod
bearing.  Both are relatively easy to fix if caught in time.

So with that said, I'd keep it numbers matching and use some of the
newer stronger components in your block to increase its longevity.
Forged T2 rods and stock Mahle cast pistons (forged pistons if you're
really concerned) with a good headgasket, MP bolts or ARP studs ought to
allow it to survive your Sunday drives.  Drop a roller camshaft in it to
help it idle a bit better and depending on the cam chosen it might help
the power range a little.

Have the oil pan baffled and install a crank scraper and/or a windage
tray in the pan to reduce unnecessary oil abuse and therefore shortening
the life of the motor.  Moving the transmission cooler to its own large
cooler (I think the SL's with automatics already had this though) will
help as would installing a thermostatically controlled engine oil cooler
solution.  Have the T2 radiator re-cored.

Good luck,
Stefan

-----Original Message-----
From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] 
Sent: Monday, July 25, 2005 11:56 AM
To: [EMAIL PROTECTED]
Subject: SD> Rebuild, Crate or Used engine?

Hi All
I going to pickup a Shelby Lancer this weekend that needs an engine.
The engine has the knock, knock, knock thing going on. So my question
is,  rebuild the engine to keep the numbers matching or get a crate
engine from a  builder, or find a used engine and take a chance. I'm
thinking just rebuilding  the original (if it can be rebuilt) to keep it
numbers matching it will cost  about 1500.00. This car is going to be my
Sunday driver so it doesn't need to hi  po just reliable.  



Roy
86  GLHS #200
87 Shelby Lancer #781 5sp cloth
81 Fiat Spider LE #501
81  Fiat X1/9 

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