That's a caked on build up from the cylinder burning oil. It's not likely the valve seal letting oil in since the exhaust is the exit. Couple that with the low compression on that cylinder, and I'd say it's worn rings or maybe a cracked one. When you did the compression test and got your numbers, you should have tried squirting oil in that low cylinder and testing it again. If the compression spikes up (because the oil creates a better seal), you know it's the rings.

 

aaahhhhh not what i want to hear but it is helpful... this doesn't make any sense this motor only has 70,xxx miles on it.. ill look over all the gaskets again tomorrow to see if i missed something. but if it comes down to it and it is the rings... im thinkin i might b buying a new k- member for a v8 and dropping in a v8. which will suck because ill need a different trans too and possibly a drive shaft... ugh thanks for the info tho!

 

 

im trying to debate whether i want to stick the time and money into the V6 just to get it goin or just put the time and the money into making it a V8....