I will tell you my experience, however it was not an lt1 or an ls1, it was a 2.2L in an s10. I bought it cheap, like $800, guy says oh it just needs an oil pump and timing chain, it never knocked or anything.. So I buy it with the intentions of doing just that (he says that it was losing oil pressure) ..To make an extremely long story short, an oil pump and timing chain and a few hundred bucks later (btw, 12 hours labor on a 2.2, I think about 8 on an lt1/ls1 at a shop with a lift...) it sounds exactly like yours. Starts up runs great when it's cold, warms up, and it starts "ticking" .. sounds like a tick.. Get near it, it's a [email protected] The bearings failed due to somehow water or something getting into the motor, the guy being a moron, and me being an idiot by buying it. I put some head gasket repear in it, put some lucas oil stabalizer and straight 50weight, and sold it for what I had in it, and told the guy not to expect to last to the next oil change. My advice: Either rebuild the motor you got or follow dudemans advice and get a new motor.
Good luck, keep me posted please!
Good luck, keep me posted please!