it looks like you might have a side seal issue along with other things on the front rotor.

 

Yea I knew I would have to go into the engine when I bought the car, no surprise there.

Now the question is, do I just go ahead and buy an already built motor from one of the good builders on the forum or do I have a reputable shop just open the motor up and replace the seals? Although he used new rotor housings, and they only have 2,000 miles on them, I'm guessing he beat on the car if the engine is blown after just 2000 miles. I would hate to think it's just replacing seals and when he opens it up, it shows that we need new rotors or rotor housings or even both!

 

Maybe not, it could just be improper side seal clearence.

 

It is hard for me to comprehend how an engine with new housings and only around 2k miles can have that low of compression, those seals must be warped something awefull. Amazing they didnt break at this point, but with the numbers that engine produced looks like there may be several issues within the engine. It is hard to get that low of compression without breaking or chipping a seal.

 

That's the gamble you took when you bought the car. You knew the compression was an issue. You won't know what needs to be replaced/fixed inside the engine until its disassembled. At this stage, it does no good to guess at what parts can be reused or need to be replaced. Crack the engine open and inspect it.

 

Wow, that compression is horrible.

I agree with Kyle, crack the engine apart and see what's inside before proceeding.