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And I have lunch riding on this too.... i say it is internally balanced :). Sure it's been over a year since i rebuilt my motor, but as far as I can remember it was internally balanced stock. When i bought my crank/rod/piston set, I had to be sure it was internally balanced so it would work.
haha, well my first one was and i didn't mind it for going straight :) .. and i didn't know any better since i hadn't driven a manual before. Now i wouldn't ever go back unless it was a drag strip car maybe.
I just got my rotating assembly back from the machine shop My bob-weight card says both the balancer and flywheel are netrual balanced. It's internally balanced.
My 383 Stroker is internally balanced...they had to use mallory metal to do this! It was mucho expensive because when I did my stroker, most kits weren't balanced and your machine shop did the balance.
The stroker crank was designed for a non-LT-1 externally balanced engine that uses a large offset counterweight cast (right balancer in photo below) into the hub of a stock 350 (the front crank counterweight has three mallory metal slugs added to it ....see third photo below)...I know cause they originally shipped me the wrong balancer hub and then had to rebalance everything (with my old LT-1 harmonic dampner) because the LT-1 balancer has an integral pulley and a very long offset shaft extension (see second photo below) to clear the Opti ( I had them clean, paint, and reuse it on my Stroker).
BTW, mine is an automatic. Was balanced with the flex plate and harmonic balancer hub even though the LT-1 is internally balanced.
The harmonic balancer on an LT-1 is not keyed to the crank (uses a cut key) specifically because it is neutral balanced and only is used to dampen the crank harmonics as noted in the prior post.
Internal and external balance is a general layout of engine balance. I think of it this way: if the harmonic balancer is neutral balanced and the flywheel is neutral balanced, then the engine is internal balanced (all counterweighting is done on the crankshaft). If the harmonic balancer and flywheel/flexplate are counterweighted (like 400 small block) then it is external balanced.
Later L98's and LT1 engines are a hybrid-harmonic balancer is neutral balanced and the flywheel/flexplate is counterweighted so one could say the front of the engine is internal and the rear is external.
An engine can be balanced at any place. The balance shop can add/remove metal on the harmonic balancer, crankshaft, or flywheel/flexplate-where ever calls for it. Stock LT1/LT4 balancers/flywheels were fine tuned by the factory as well with small weights added to the outside perimeters on these items. About the thickness of a pencil-minor, but they are there and the factory service manual points these out when replacing those items...to transfer same weight layout to new parts.
Also neutral balance means the item has no bearing on how it is installed.