So what material were the seals you bought earlier and said you were going to use on the exhaust valves.
I bought stock o-ring type intake valve seals at the tractor parts store, and a set of 8 umbrella type Viton valve seals for the intake and exhaust valves from a local auto parts store, just in case I decided to use them. Since they would be retrofitted, I had to know the diameter of the valve stems and the inner clearance between the valve springs and guides, to select valve seals which would work.
The umbrella type valve seals only cost about $15 so I went ahead and bought them so I would have them on hand if needed. I'm always working on something, so even if I don't use them now, they will eventually be used.
I also noticed your compression number and they were very high. I believe your engine is 6.5 CR so it should be closer to 125-130 psi compression for a new or rebuilt engine. I saw dry numbers of 155 psi and 160 wet. (I presume those are raw numbers and have not been adjusted for ambient pressure at the time of the compression test.)That's really high compression if your engine is in fact a 6.5 CR machine, and with those numbers I'm wondering why you felt you needed to rebuild the engine? There appear to be carbon deposits on the combustion chambers from the pictures, that may explain those compression pressures. There can't have been any valve leakage and the rings must be really good to get those numbers. Any comments to explain those compression pressures? Was there any sign of pre-ignition on the plugs or was the timing retarded to reduce pre-ignition?
I agree that the compression readings (raw) were a bit higher than expected, and heavy carbon deposits could have been the cause. I was using one of those cheap compression gauges to perform the test, and haven't checked it for accuracy yet, so the numbers may have been off by a few PSI. At the time, I was mainly looking for consistency among the cylinders, so the exact PSI values were of less concern to me, unless they were inconsistent or extremely low.
Rebuilding the lower half of the engine may or may not be necessary, but I won't know for sure until I eventually pull the oil pan to inspect it. Granted, the compression was good for all the cylinders, but many other things (bearings, etc...) could also need attention.
The spark plugs were heavily oil fouled, but there were no indications of preignition or detonation. The tops of the pistons and cylinder walls look great, which also rules out preignition and/or detonation. As far as I know, the timing was stock, but I hadn't checked it yet because I wanted to address the oil buring problem first.