Have you loosened off the valve lash to ensure there isn't a stuck valve waiting to bend the valve train?
It's a two cylinder waterloo so it a quick easy job to pull the cylinder head. After you do you will be pleased to know you didn't bust anything yanking on an engine stuck full of rust. It will only cost you a head gasket to find out most of the engine's condition.
Time to accept it will take some time and money now to save a lot of time and money later.
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Today's Featured Article - Third Brush Generators - by Chris Pratt. While I love straightening sheet metal, cleaning, and painting old tractors, I use every excuse to avoid working on the on the electrics. I find the whole process sheer mystery. I have picked up and attempted to read every auto and farm electrics book with no improvement in the situation. They all seem to start with a chapter entitled "Theory of Electricity". After a few paragraphs I usually close the book and go back to banging out dents. A good friend and I were recently discussing our tractor electrical systems when he stated "I figure it all comes back to applying Ohms Law". At this point
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