With 96 cc heads I'd be looking at the 4.25 stroke. With maching a little off the heads, zero deck and a .040 overbore you're looking at the 461 kit and about 9.5:1
Nice healthy street engine.
Main difference between the kits is the main bearing size, they use different cranks.
Caps are a toss up, not needed on the street, and some say given the straight main cap threads the block is weaker than a 2 bolt main block, with or without the 4 bolt caps.
Personally if I were going to race it I'd add them and stud the bottom end, street and occasional strip use, no.
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