by Arkie » Sun Mar 27, 2022 9:46 am
Oil on top of the piston:
Inspect the intake valve stem seal (wiper), make sure the rubber still has life and feels snug (little bit of friction) when sliding on the valve stem. If it's dried out and not sealing (wiping) the engine will suck oil up the intake valve stem. Also check the valve guides. Since that engine looks almost new with maybe low hours of use I doubt if you find any serious valve train problems, but being the engine being old and not used much the intake wiper needs inspected AND make sure that a valve is not too tight in a guide and possibly sticking. (doubtful but good time to pay attention to all when inspecting)
See if the intake valve indicates maybe oil coming up the valve stem due to bad wiper, but a bad oil wiper won't keep a engine from running, just causes one to produce oil blue smoke and carbon on piston and foul the spark plug.
Also when you first start lapping pay attention to the lap ring on a valve and the valves seat. It should be at the same place all around the valve. If a guide or valve seat is cocked the valve won't seat/seal good when the engine is running. make sure a seat is not loose in the block. (not likely on that engine but needs checked)
Spitting back through the carb you mentioned as the engine is dying is suspect of intake valve erratic issues or spark timing changing. (firing with the valve partly open)
Also make sure the flywheel is still torqued down to specs while it's on the bench, (not loose)
You asked if you need to be CONCERNED about valve keepers. YES, especially the two piece wedge type type you mentioned that grease aids in the re-install. Your keyhole type are more user friendly.
Make sure your keyhole keepers slot is ok (inspect the keepers) and do a close visual of the Re-install and if ONE is still cocked little bit you will usually see such as compared to the other valve spring.
On a OHV (over head valve) engine the keepers are VERY important, valve going through the top of piston usually if they come loose.