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I just installed a 232°/234° XE-R cam in my LS1 with stock pistons and AFR 205 heads milled to 59cc. I measured ~.035" p-t-v clearance for my intake valve. My exhaust valve had .130" clearance, so it was fine. I bought a Lindy Tools in-head plunge cutter and notched all 8 pistons an extra .060" within 1½ hours. While I had the luxury of the engine being on a stand, it could easily be done in-car. Don't be intimidated by notching pistons. Pick the best parts for your build and then do the required work to make them work.
while I agree with most of your comments, we are still limited by our stock pistons in these motors. Im flycut .080" on the intake and .040" on the exhaust and still wish for a larger cam. But with the crown being .250"ish and having removed .080" in does not leave a lot of meat for the n2o...lol.
I would want to use the small chamber with the cam upgrade.
Put a thin layer of clay on one piston. Get 2-test springs and install one head, 2-pushrods and 2-rocks with an old compressed gasket and a few bolts. rotate the motor by hand two full turns. Pull the head and measure the clay where it is compressed by the valve at its thinest edge.
your clearence.
remenber the min. clearances are only good if you never float a valve.
over rev in first with a violent tire spin and you will wish you toke the time now.