alrighty. the machinist and i have parted ways for now, i have informed him that i am taking it down, looked at everything, measured everything, and figured out what is what, and we will go from there settling up wise. he has offered any help from here on if i ask for it.........
my uncle had a very lengthy talk with wade at BOP, i guess he has been following my trials and tribulations here, and was one of the most helpful, professional, and giving vendors we have ever dealt with, PERIOD.
he is just as confused as we are, he knows my machinist, and one of his heavy pontiac clients to boot.....
he had some very interesting information to share, some that i have not heard of, or known about. he talked about all the motors that have worked with it, regardless of crank, how it was originally designed, many of the different configurations it has been used, etc....he said he has also heard of some issues with the larger main engines, and has heard of symptoms similar to mine to as well, and was impressed with all of our effort to try and remedy it.
he mentioned that their molds for the large main seals was actually wearing out, and they have completely re-designed the large main seal, based on certain pontiac loyals input. it now has bop written on it, a 'flywheel side' label, and is of a more tolerant nature, clearance/crush wise, amongst other details i cannot remember at this moment. great news, always room for improvement in this field. he was so gracious as to send us one of the brand new seals free of charge, for us to inspect, compare, use if we like, which i thought was pretty darn cool.
so, when the motor comes out, i am going to be working with/sharing all of my information with him, so we can both learn from this episode of personal hell of mine.
i am going to be documenting every step of this with pics, dialogue, measurements, you name it. i am sending it all to him, posting it here, and hopefully coming to some conclusions/solutions.
hopefully very soon, i will have it out, and apart, and get to the bottom of this. for now, i will wait for the seal, get started prepping for another tear down, and look at the bright side:
gas is out of hand here, and the weather sucks right now....... 
take care peeps, stay tuned for the next episode of 'as the blower turns'.......
davey