Unfortunately the bottom of the car is bone dry... I did drive the car at night.. with headlights behind me I could see that the car was smoking quite a bit.... IMO it is probably really bad valve guides since the compression was good. Good find though! I think i am going to pull the head and take a peak... if it is the bottom end I will remove the rest of the engine. I am probably going to pull the pan this week as the 318's oil light is coming on when I have the proper amount of oil. It maybe the inner pan bolts coming off and blocking the oil pickup....