1983 hydraulic engine

This A.M I decided to try and turn the engine over thats sitting in my newly purchased truck, starter needed help, had not been worked in along time and was not doing what I needed it to do so I put another in it, engine was not frozen but very hard to turn over, I decided to pull all the plugs and the valve cover. ( mind you I have not even changed the oil yet ) Last time vehicle supposedly ran was approx 1996

Rocker shaft ect on # 1 cylinder a bit crusty, nothing hard core, mainly surface rust cause I can wipe away some of it with my finger but its still there.

Turned it back over with my [ame="http://www.amazon.com/s/ref=nb_sb_noss?url=search-alias%3Dautomotive&field-keywords=remote%2Bstarter"]remote starter[/ame].

Spun very easy with plugs out

Compression check is as follows. Mind you I am using a good screw in compression gauge, not the rubber tipped deal

#1 nuthin/notta, needle does not even budge

#2 same as above

#3 by the time I got to # 3 I got a VERY heavy stream of oil ( and fuel, forgot to disconnect that fuel line ) out of some places on the rocker shaft, not quite sure if I have oil at the # 1 cylinder yet though.

#3 showed 90, then went down to 60 then back up to 90......I stopped with this cylinder at this point, Im assuming that when it went back down to 60 thats when the valves was sticking open. AT this point a valve is stuck open, not sure if it is intake or exhaust, it is the one I am pointing too.

A this point it will not even close with the pressure of the valve spring trying to force it closed. .......After fiddling with it a few hours later ( tapping on the side of the valve spring lightly with a brass hammer it did snap shut.

#4 110 pds but again not right away, it would pump up and then leak down very quickly then go right back up and eventually stayed up to the given reading.

#5 140 pds went right to 140

#6 120 pds If memory serves me this valve fluctuated a bit up and down as well. Not certain. My memory is getting worst with age

I dont know whats up with cylinder # 1 and 2

I would guess that maybe these valves are stuck open just a bit, maybe there is crud under the valves that needs to be removed. I can see all of the valves open and close when I turn over the engine ( with the exception now of the valve that I am pointing to which is stuck open but maybe I just am not able to see that some of them are open just a tad.

What would you guys do? Would you bother to change the oil yet? Its black and nasty ( and old) , just dont want to piss away the money on an oil change for an engine that has broken rings or something else major thats why I decided to take the route I am taking.

Is it a sign when the valves stick like this that the valve guides are shot, seems to me that if a valve is able to hang up that chances are it means its cockeyed in the guide which of course prob. wouldnt be an ideal situation.

Just guessing, I am only trying to learn an so forgive my stupid questions.

BTW I wish that the brand new re-build slant in my truck built up oil pressure this quickly. That was a joke trying to get oil to the top end.
Thanks for any advice.

EDIT: Later in the afternoon I decided to pull the rocker shaft, let it sit in kerosine and soak, I cleaned up the head with my vacuum cleaner trying to get rid of some of that crustiness on the # 1 cylinders valvetrain before it ended up down in the oil pan.

Head valvetrain is fairly clean, no major buildup of gunk, VERY little buildup of anything on the cylinder head itself.

I squirted oil best I could inside valve spring hoping to get the oil down into the valve stem I was able to at one point get 30 pounds ( and it stayed there, no leak down ) on the #1 cylinder. Nothing was happening still though on the #2 cylinder.

Fooling with it further with more oil and I could not repeat getting any compression on the #1. Went back to reading zero on the cylinder.

Forcing air down the cylinder thru the spark plug hole on cylinders # 1 2,3 did not tell me much, I figured if there were a problem with any of the cylinders rings that I might be able to detect air coming from bottom end or out the carb if it were stuck valves.

I can dump 100 pounds of air down the cylinder very quickly but again I cannot tell where it is going. I was using a small portable air tank, maybe I need to fire up my big compressor and try that, put a piece of paper over the carb and look for some flutter, maybe disconnect the exhaust and do the same.

Any suggestions appreciated.

Continuing to squirt oil down the valve stem best I could