Kinda reminds you of the old saying.."don't go off half-cocked" don't it?
Big Jim <img src="/forums/images/graemlins/pfft.gif" alt="" />

I certianly appreciate with great humor the suggestion that I may have gone off half cocked. <img src="/forums/images/graemlins/cheers.gif" alt="" /> I also appreciate everyone's help in resolving this problem. Lots of tech boards just ignore you if you aren't within they're "circle of trust". <img src="/forums/images/graemlins/ignore.gif" alt="" /> So many people have told me so many things to try and figure this one out, it's been a little confusing. I am unfortunately an HVAC tech, not a mechanic, (shadetree at best), and while I've done plenty of work on plenty of vehicles, I'm still learning as I go. Heck, even the instructions for the compression gauge told me that it was ring problems ONLY if the compression increased after adding oil to the cylinder. (Which it didn't, supposedly indicating a valve problem. Said so right in the instructions! Never listen to the instructions... <img src="/forums/images/graemlins/smile.gif" alt="" />) But in the end, Jim was right <img src="/forums/images/graemlins/kewl.gif" alt="" /> and it was the rings after all. (and the piston, and the cylinder wall, etc.) I took the block to the local parts store for boring, and they are sending it off somewhere else, since all the machine shops in my area are booked for 3 weeks or more. Supposedly the parts store can get it done sooner, we'll see. I thought of doing the 4.0 head conversion but I've already bought (& installed) a 4.2 recon head. The MPI injection kit is just a little too rich for my blood, and my MC2100 does pretty good for me with the Ford TFI ignition. I've been thinking about an RV cam tho...anybody know a good place to order pistons online?

Mike I would put all my eggs in the same basket!! Go back to the same parts house and see if they have a rebuild kit to sell you.. And yes if you can get em to put an rv cam in the kit good for you. You will be able to see the difference in usable horses with one of those nice stump pullers.
So now you will have a new rebuilt engine. I always install a new 195* thermostat, coolant pump, lifters, pushrods, rockers and oil pump. Doing these installs will help you to get several years out of her before needing any repairs.
Big Jim <img src="/forums/images/graemlins/pfft.gif" alt="" />

Just to follow up on the orriginal problem. I pulled the head again and took it to a machine shop to get it magnafluxed. Turns out there was a crack between the valves on the No. 1.

The motor was still under warrenty but in the last 3 years of it the company only covered half price parts. They were cool though and not pushy. They got me a new head with gasket shipped 3 day ground from washington state for $275. I replaced the plugs....again and the jeep runs like a champ again. Thanks for everyones help. My next project before I lift it is going to be an electric fan conversion.