Originally Posted by DEI37

Bingo. Two plus two just made four. Blown head gaskets are USUALLY indicative of an over heat. Obviously overheating isn't a good thing. But, usually when a H/G fails, coolant seeps in to the oil, OR oil is spewed from the engine. Here's what happens in those scenarios.

Coolant in oil - contaminates rod and crank bearings, and eventually can and will lead to engine failure, either by locking up the engine, or breaking something hard in the bottom end.

Oil loss - If it never ran dry, you might think you're alright, but low oil conditions will eventually cause the bottom end to run hot, and you'll end up spinning a bearing.

Now, the early 3.8's, up to and including the Series I, which merkurguitars has informed us you have, do tend to have oiling problems in the bottom end, which can lead to either a seized engine, or a spun bearing, which will also seize the engine, and sometimes crack a block. Had that happen once. It looked cool, but cost a lot of money!

Personally, I'd find a Series II engine, and find out what the differences are for installation, and if it's not that big of a deal, install that engine. Just find the updated intake manifold and install it first. The Series I is usually uber-reliable, so reinstalling another one of those wouldn't be a problem at all. Probably find one at a salvage yard with 100k for under $500, and then take a couple weekends to install it.