OK, so at this point I had the clutch and brakes reconnected, engine in and running, now I was going to turn my attention towards bodywork and interior including a custom cage/fuel tank...
I took the car for a test drive round on some private land and all seemed well. Every week or so I would do so and one time while running it up i gave it a rev almost to the redline while warm and it made a horrid pinging noise and came to a halt as if somebody had turned off the key.
I had presumed the cambelt (which I had replaced) had slipped - maybe due to incorrect tensioner setting or something !?!?
Anyway I knew that in the absolute least the head would have to come off and maybe I had some bent valves to replace...
The car then sat for months while I decided what to do with her.
By this time my friends and I had moved into a new workshop near the old one and I got the car inside where I could work on it again as it had been outside for the last couple of months.
I had also got my hands on a nice set of 16" borbet a's
I had a high compression 325is engine from a good driving but rusted out e30 sport which I bought from a mate for spares a while back, so I began tarting the engine up as it needed new core plugs anyway because some of them had rusted and coolant was leaking down the block.
The rusted out 95k 325i Sport also had an lsd, some 16" multispokes (as seen in earlier pics), stainless scorpion system (which had a couple of stress cracks but otherwise was good), and a boot spoiler. A local welder/fabricator/legend welded the system up for me on the cheap

thanks Mr Thomas.
The zorst !
The parts were slowly finding their way to the E30
So back to square 1 I suppose, So I phoned Ocean BMW/Mill Auto and ordered up a new bunch of parts;
Inlet/Exh gaskets
core plugs
studs
oil filter
valvoline oil
3 prong plugs
dizzy cap/rotor arm
silicone ht leads
cambelt
tensioner
water pump
red black and silver paints.
The stripping/cleaning begins again... sigh
I picked up a nice ACS oil cap from ebay
While getting the replacement engine ready I thought I would remove the old one and see what happened/clean the engine bay up - more out of curiosity than anything !!!
Scrubbed up a treat !
OK, so I had the engine out. It turned over by hand but once every revolution it felt like there was some kind of notch and you could hear a "tap" ! I checked for any broken rockers but nothing. The pics below explained all after I took the head off.
So the only internals which are undamaged are a cam, rockers, three pistons and a crank - the rest is only fit for the scrap pile
At this point I was wondering about If the M20 is really the engine for this car as to be honest I intend on giving it a whole boot full of hell all the time. Not to mention I am power hungry !!!
While this was going on my everlasting quest for a 1.9 z3 rack had finally come to an end !!! WAHOOOO.
£265 later and I had it - the numbers and ratio was right and it was in great looking condition. The people I had bought it from had even put new arms and boots on, Happy times !

I thought I may as well fit this as the engine was out anyway...
Job Done !!!!

, Next out came the grinder and the sunroof got some attention

I intend to weld the original skin back into place or a sheet of metal...
I also got some 17" BBS Splits (7.5j x2 + 8.5j x2)

and a 5 stud disc rear beam setup from an E36 compact. E36 M3 3.2 brakes up front are a bonus and the availability of different coil over suspension for an E36 is soooo much better than an E30
Jason from Fab Part kindly donated me these E46 topmounts

Thankyou very much...
I got these reinforcement plates also from ebay.
I have now bought two S50b32 engines (one has a bottom end knock and the other was removed from a fire damaged vehicle). The engine with the knock is complete and the burnt engine was
also complete but got pretty hot and only the head/block/internals/flywheel etc would be usable.
The plan was to put the crank and shells from the burnt engine over to the knocking engine and have a working unit to eventually put into the e30 one day. If this didnt work I would not be too bothered because both engines cost me... well lets just say not a lot at all
The plan I am now considering is to regrind the crank in the knocking engine and fit new shells. Fit the engine to the e30 using a e36 325 gearbox etc which I can pick up easy peasy...
This would leave the burnt engine for me either as spares or to build up with forged pistons etc and if the day comes and I need more power - hey presto ! (just like that he says

).
The only problem is I dont have engine management kit and I bet that could cost a pretty penny for an M3 evo. The other option is Megasquirt (which I wanted for the M20 anyhow) but as most of you will know it will not control the vanos.
The other option would be deleting the vanos or bolting on a non vanos m50 head (I dont even know if this is possible but im exploring every option at the mo) to the 3.2 bottom end and use a turbo/megasquirt setup. Ideally I would like to keep the vanos and use the engine to its full potential though
I'm even thinking about plain M50 swaps too as they can be got for sod all at work...
I am a bit stuck at this point unfortunately and would love some advice on which direction to go - which is the main reason for starting this thread rather than just asking a question with you knowledge kings not knowing all the info needed !
Your suggestions are very welcome - good or bad LOL
thanks
Will