--snip--

The Questions:

1. Do both head gaskets need to be replaced if the pass side isn't leaking?
(seems the right thing to change both but someone has suggested otherwise)

2. If compression test proves poor (I suspect it wont) is it worth even
proceeding with the repair?

3. Where did my oil go? Could it have been purged during over heating too?
There is clearly oil in the engine bay.

4. The age old question - remove the engine to do the repair or do it in the
bus?

5. I know I'm missing something, misguided, or not thinking of something
because I lack the knowledge and experience with this type of repair. So set
me straight :)

When I got my first van the engine was toasted, and I was advised to do a
'top-end rebuild' if the bottom end checked out. It did, so I re-did
everything (essentially) from the bottom of the cylinders up. The things I
didn't replace (pistons, lifters, etc.) didn't need it. So:

1. I would. Who knows what condition the passenger side is in now, and
replacing one part or side of a pressurized system often just helps you find
the next weakest area/failure point.

2. It's easy enough, with the heads off, to go ahead and re-ring the pistons
if it needs it. Take all that stuff, along with the bottom end and heads to
a competent machine shop and find out what condition they're really in. You
can have the cylinders honed, wrist pins cleaned and so on while it's all
there.

3. Don't know, but where's there's smoke there's fire. If the engine bay was
oil-free before, you've probably answered your own question. As to where it
likely came out, I'll leave that to someone else.

4. Remove the engine. It's so much simpler to do this stuff on a stand.

5. There are all kinds of things people recommend you do for GP while the
engine is out (like the main seals). Search the archives and wait for
answers. I just went over the thing carefully (I wasn't on the list at the
time) and replaced all kinds of things that looked like they needed it or
would need it soonish. Depending on the overall condition and mileage, you
might want to replace certain components as a preventive measure just
because it's easier while the thing is out and disassembled. Also there are
lots of other little thing like stainless fasteners here and anti-seize
there that folks have recommended that would be easier done along with the
rest of it.

Good luck,
Robert