kinda looks like you might be into a new cam, clean the bore bottoms up with some crocus cloth and oil..install new oil pump, some new piston rings,valve job and reassemble. At that point I think a new water pump while you have it out might be a good idea..I cant tell from the photo, how do the crank journals look?
>pay particular attention to total fuel system cleanliness upon getting it all back together,flush,flush and flush again....a small amount of dirt into that injection pump could mean a bill much larger than the whole rebuild in itself..FWIW
