It didnt go as planned, new motor break in.

After two years of prep I started my 360 today for the break in, it did not go well.
First the brand new thermostat didn't open and it started getting hot, but the radiator was cold. Ugh, quickly pulled thermostat and restarted, problem solved, water circulating. Then I see the rpms dropping and check the glass fuel filter, running dry, so something is partially blocked, ugh. Start one more time to watch the fuel filter and smoke starts pouring out by the bottom of the header, passenger side. Oil is somehow squirting on it, I shut it down but to late it already catches fire, I got it out without any damage. The filter is tight so I have no idea where the oil could be coming from, it's to hot down there for research. UGGHHH!!!!! Any helpful thoughts are appreciated. :violent2: