A bit late in the day in responding, however just having replaced a 306 head gasket, there are a few things to watch out for, I would recommend new head bolts for a start, the length and thiness of these bolts almost dictates replacement. lock the cam shaft in place along with the flywheel, by fitting a couple of bolts in both holes, its so easy and keeps everything in place, blow out the bolt holes in the block with an air gun (mind your eyes) this makes sure that the bolts can go right in, and as I found having struggled with a dial gauge, its not easy to get it right as the dial gauge I had, wanted to move however tight I thought I had it fixed, in the end I used it just as a guide for the the final angle of my torque wrench.... One thing I am concerned about is that the Haynes manual (and others who may all be quoting from the same source) say after tourquing up to 15lb, the bolts should be turned another 240 degrees however the Elring gasket pack I used recommended 120 degrees, I assume that as they make the gasket they know its limitations!
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