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yes, its "technically" incorrect, but aside from the reverse flow cooling system and opti spark, its basically the same block. Of course there are other minor differences, but it is basically the same block.
The LS1 engine is totally different block from top to bottom. Completely new design, completely different all around from a to z. Big difference.
*edit* and this is excluding the LT5 from the '90 to '95 ZR1 Corvette.
I have a stock LT4 crank with 50K miles on it lying in the top of my garage if you are interested. Its in good shape. The only reason i tore the motor down was to build a 383. It was suppose to just be a cam swap.....
Personally, if your going to tear it apart, why not do a 383. You can build one as cheap or cheaper these days than a 350. Especially if you have to by pistons. And the torque improvement with a 383 is huge.