Building a "Big Bore" 5sgte, '98 5sfe Block, 3rd gen 3sgte Head, 3sgte Crank Options

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Hey All,
As some of you may know, I've been doing some work for Jim, building up his Alltrac. ( Click For Alltrac Build Thread )
He came across a deal on a build, 2nd Gen 3s bottom end here on the forum,(from itchyb) and figured we could use that, with a 3rd gen head and oil system to make a nice bullet-proof bottom end to use with a nice medium sized turbo to build a great "street beast" ....~500 AWHP that comes in quick and holds out to redline.
So Jim and his bro, Joe, brought me up the bottom end, and a stock 3rd gen engine set to get started with.
I got the built block up on a stand, and immediately noticed a serious issue with it.
The surface of the block is all pitted, and especially around the bores, like it had been shot with a Shotgun or somthing!
A few pics:









What exactly caused it, I dont know, but what I do know is I definetly wouldnt trust it to seal with a metal headgasket, and I definetly wouldnt want to have the block machined that much to bring it back to flat.
So, I figured to myself "Well, at least it has really nice pistons (it was supossed to have Arias pistons) and good rods (Eagle rods), so we have good stuff to work with" and continued to tear it down.
When I got the oil pan off, it was more "bad" news.
The pistons were not Arias, but CP pistons, which really isnt "bad", but wasnt what Jim was told was in there.
A couple pics of that: (sorry for the crappy quality, the ipod cam isnt the greatest)

Before taking it apart:



Eagle rods, ARP2000 Bolts:



CP Pistons:



Once I had that info, I called Jim.
We talked over the options, and Jim and Joe decided that if we were gonna have to have machine work done, it might as well be on the setup they'd like to do most, which would be a stroker setup.
Jim has Shannons old 5sfe bottom end, which is a 98+ block (the 98+ Celica blocks all are thicker in the waterpump corner of the block) so he said he would ship it up.
Since I still have my 5s bottom end here, I told Jim that we would just use that, and he could just bring up Shannons bottom end to replace it the next time he comes up.
Because MCS motorsports (the guys who built itchys bottom end) had some serious issues before they went under, I wanted to check the main bearing clearances before we did anything else, in case the crank needed any machine work.
The bearings that were in it were all .25mm undersized.
pic:

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I torqued the main caps down, then pulled them back off, and checked the plastigauge with the paper gauge that comes with it:







as you can see, its right about exactly the same as it was in the 3s block, so we are good to go!

Now that all of that is done, we can start ordering parts, and getting the build going.
this is what we have planned so far:

98 5s Block
87.5mm Weisco Pistons
Eagle Rods
3s Crank
ACL Race Main and Rod Bearings
ARP Main and Head Studs
ATS 5sgte MLS Headgasket
3rd Gen Oil System
3rd Gen Head
Engle springs
GSC 268* Cams W/ ATS adjustable gears
RacerX Fabrication Custom Exhaust (ceramic coated )and Intake Manifolds
Precision 5857, V-band 3" outlet, 4"intake w/Ceramic coated exhaust housing

Tial MVS 38mm V-band Wastegate
3" Turbo back Exhaust
4" Intake
of course this is all subject to change as needed as we move along..lol
We're not sure if Im going to be able to get the complete Gen3 oil system, including oil cooler to work on the 5s block, but I will document the process here either way, for future refrence.

A teaser pic of the Exahust manifold/Turbo combo: