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I have a 1971 142 E with rebuilt engine with 0.030 over pistons running Megasquirt. I stuck with the D cam because I wanted to retain urban driveability and am running the E head with only inserts, a 3 angle valve job and minor port clean-up. The one thing you should do is make sure that the block is decked to establish the correct quench bands which goes a long way to preventing detonation. You will find a discussion of quench and squish bands in the push rod performance forum.

Modifying the B20 for more hp is not cheap, particularly finding a competent race shop with experience in modifying the B20 head. The cheaper path to more hp is transplanting a more modern engine. The turbo engine out of the Nissan 240 SX has always looked like a good candidate to me; however, they seem to be in high demand.
 
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