uh oh..... set back. water in oil

There's your problem, aluminum intakes don't work with stamped sheetmetal gaskets, they must be fiber. Metal gaskets are for iron intakes on iron heads only. The intake gaskets need to be designed to handle the different heat expansion rates of iron vs aluminum.
What was the outcome and what did you find as the issue? I just completed a complete rebuild and am having the same issue but I am using the original iron intake. After the initial start up and only let engine run for 5 or 6 minutes checked oil and massive amount of water in oil. I currently have again taken the intake, timing cover and heads off and can find no notable issue at this point. Suggestions, any help would be greatly appreciated.