There "was" a crack in the head gasket or there still is a crack in the head gasket?

 

I haven’t pulled the heads yet. I’m thinking that the moisture damage I see now, is present in the rest of the motor. I haven’t had the time to pull them. I am unsure why the 7 cycling doesn’t have compression. There is no knock when the engine ran. Not sure what next step is

 

There are no "crate" Olds engines available. You're talking stuffing a GM (coff, coff, scuse, Chevrolet) crate engine in and IMHO it's more damn trouble than it will EVER be worth. Everything from wiring to starter to A/C and more is backwards from the Olds installation, with the added expense of a Chevy transmission swap as the Chev engine won't bolt directly to a 1971 BOP pattern transmission.

You're pulling the Olds engine to do that anyway, so rebuild what you have. An Olds rebuild is no more complex or arcane than any other and any competent machine shop can clean and if necessary machine the engine.

But if you're dead set on having this crate engine, have at it.