Re: water in the oil
With an engine having 45 to 55 LBS compression, putting 55 LBS torque on the bolts really over kill. 45 to maybe 50 should be good enough. The early blocks did not have as good of metallurgy as the later ones, off hand ones before about 1916 or there about.
Try putting the bolts in with only the Ford wrench, get em tight, then check what the reading is with a torque wrench, beam type might work best. Bet you find the reading is in about that range.
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