Eric,
The tick is probably a sticky lifter. A guy who used to own a VW shop told me "put a half bottle of STP in there". I did and haven't heard that tick since even after it sits for very long periods. 

As for oil I use Brad Penn Racing Oil. 20/50 partial synthetic and swear by it. Back in the day us VW guys used Kendall because of the zinc content. It was the best and then, one day it wasn't. Turns out the name was sold and the new company changed the formula. The original refinery, Brad Penn Oils still makes the original formula. Pricey at $7 a quart but I use it in all my VW's (available on Amazon) just MHO

Shawn
87 Syncro "Eeyore"
78 Champagne Edition Bus
80 Aircooled Westy L "Tigger"