Im locking this after.
1. Head gaskets are available.. Dont beleive what people tell you! under the parts section it clearly states to check with the supporting vendors first! if you had done that you would know that two of us have all of the gaskets, and all of the bolts.
2. People are instructed on how to weld with cleaning the cams inside the motor with oil and chemicals still in the motor.... well when you add brake kleen into the motor and the oil is still in the motor the Kleen will rise to the top of the oil and get into the bearings.. Yes I cant beleive it either! to me this explains your second motor failure.. cant say for sure but I see PLENTY that die this way.
3. welding without gas.. (gasless wire) this introduces a 1000 time more SLAG into the motor and thats bad! this left in the motor is only going to wreck it! we shouldnt be welding anyway in a motor but if your going to wouldnt you want the cleaner weld you can get?? dont beleive me? go ask anyone who welds for a living and get your answer.
4. just because the cams are moving dont mean squat! take the covers off and LOOK at each weld to make sure it did not break apart and chunks are missing that may have got into a bearing.
5. New motors.. these have been sitting around for ever! These were first brought to my attention in 2003.. A guy called me from Texas and wanted me to buy them all for a discounted price.. Im sure I know of one other guy that got the same call.. Who knows how they have been stored or treated? They could have been outside and open to the air. again imagine the worst case scenario.. I never did because I counted the gaskets and bolts vs blocks and the number did not match.. not even close!!! so as I would have had to buy them all I would have been sitting on motors that I could never use!
6. I sell used/refreshed motors, I have sold and installed 212 motors for 3000.00 and have 1 fail on me.. It was one that I delivered to Ohio for someone else to install which if you read my site I advise against this! as I sell them for the same price installed or not.. This motor after going back and forth with the owner and after the court was threatened I offered to pay for it under certain guide lines. the disasembly had to be taped, it was and they pulled a bolt from the motor! bent a valve! I had them send me the bolt and low and behold it was a 1/4-20 bolt.. well these are not used on these motors and I was released from any claim! there is not a single standard thread bolt in my shop..
Check the welds! each one. One by one
Check the shims.
its either a rod bearing, or a timing tentioner.. Just delt with a guy that had a tentoiner break down.. the main slack adjuster, (well the only one) had poped the cap off of the tentioner. causing slack in the chain and a weird noise..different sound than yours but listening to things over phones and internet video dont help really. they never sound right.. Also I have been selling other timing componets as they seem to be in high demand.. personally I have not seen this. and always put up a fight with the customer when it comes to this. maybe its becoming more normal now?
break in procedure is what you like.. same as every other motor.. We install the bearings with assembly ****, start the motor and let it sit idleing for 15mins.. drop the oil and refill. then to 7000k it goes. break it or break it in!

Paul, is one of the most knowlegable people when it comes to this, if you can head there then I would. I can also make a time to listen to it, but I dont know when the next time I will be coming through, about twice a month accross 80, so would have to meet at the 280/80 interchange.. Also Bizzy lives in the same state and she could listen to it as well.
You also might want to sign up at the
www.V8SHO.INFO list, and ask there.. there are a few people that are just motor heads! and might give you a better diag. Most lists are redundant with people but you might get someone that lives closer to listen or a different and better answer. go to
www.v8sho.info and go to the bottom of the page, there is a link to sign up.