HEI module going spastic?

HEI likes .5 ohm coil. Running a .7 is stretching it, if you have included a ballast resistor, you are stretching it even more. HEI will not operate near optimum with .7 + ohms. This may or may not be your issue, but I am just putting it out there.

More likely you have power, grounding issues or EMI issues.

Are you powering your coil circuit and HEI with a good relay? Low current feed could be part of your problem.

Maybe I should sprung for an e-core coil I did call MSD and ask them if it was OK to use the Blaster 3 with that module. Of course they said Yes. I am using a relay. I measured 12.4 volts at the coil.