New engine has loss of compression

From the pics you posted its hard to believe you only have 3000 miles on it. My feeling is your carb was way rich and rings never seated properly. Pics look like you been sucking oil past the rings. Did your oil look really dirty and diluted?

It was abit rich I am pretty sure. And if the rings never seated wouldn't I be burning oil? and it doesn't burn any oil at all, alot of coolant spilt into the cylinders when I took the head off. The spark plugs also looked pretty clean. And the oil was fine, and not diluted or anything.