Cam, lifters, rockers, valves, springs, etc., are all brand new. Only thing not new are the pushrods, and they only ran for two seasons, I believe.

OK, Plan is to change oil as it got a little milky from running at idle 20 minutes with no water temp. Adjustment is at 1 turn on #1 in/ex and 3 ex. Run it below 3200 for 5 minutes or so check plugs ( new blower and Nickerson carb) and if all is well repeat several times. Then back them down to 1/2 and tighten till they are quite. I am betting that will be quite at a 1/2 or 3/4. I suspect assembly lube etc. was stopping up 1 in/ex and 3 ex.

It just could be push rods seating and making a little noise