I just talked to the engine builder in Kansas. Although memory fades after a few years, he thinks this engine had umbrella seals on the exhaust valve stems and positive seals on the intake guides. So my solution will likely be to replace the exhaust seals with either the original O-ring style or get new umbrella seals. I'll leave the intake seals alone. He's pretty certain it has new valve springs. It should be a simple fix. Then I can get on with running the engine in the stand.
Thanks
Jay