dropped a cylinder
 

I have put about 60K on the used engine in '85 crew since the conversion from gas. Mechanic is giving me nonsensical advice in my opinion. Paid for a compression test and injector test. #1 cyl is at 100psi, all others are 380psi.The mechanic is saying I need a new motor. His reasoning is that if its a head problem thay are rarely rebuildable and given the cost of a new head cheaper in long run to buy new motor since he feels engine miles are actually very high. True mileage of '89 bone stock donor motor unknown. Has always blown lots of blue smoke on cold startup, little if any on warm startup. Has always had some blowby and burned oil-1qt per 1500 mi. Could cylinder have been bad all along? Was averaging 20-22 mpg the whole 60K I've driven it. I'm not sure on best course of action, any advice appreciated. He may be giving me good advice but I'm to ignorant to know it.

I think you would get a better set of answers on the first gen Forum rather than here, but if it were mine, there is no way I would change the engine without first pulling the head. It sounds very suspicious the way you describe it, and given the non-IC's propensity to crack heads around the Injector seats, I would almost suspect something on that order.

Re-post this on the first gen forum right above, and see what the boys who live with the 89-91.5 engines say.

im w pat definitely dig a lil deeper b4 you make any decisions

I reposted in the Gen1 area. If your willing to share advice on this, please go there and look for same heading "dropped a cylinder" Thanks for the anticipated help.