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Bennie, that carb kit # 254556737560, is on sale right now out of Ontario Calif. for $33.99 USD and ships for $23.40 USD. MUCH less than $200 AU. Even if it isn't the quality kit you get over there, at least you'd have something to work with if needed.

Bennie, it sounds like the float level could be low, leaning out the mixture. If it were a sinking float with a leak in it, the needle & seat would be open too much of the time, high level fuel flooding over into the venturi. Some times you can see drips of fuel while at idle. This sounds like a gurgling while at cruise. If it were a brass float, leaks can be found by putting it in a pan of boiling water & watch for bubbles escaping. Carb kit on fleabay, item # 254556737560 I'm guessing at your MY.

Add to this a possible cracked distributor cap or rotor. Condensation inside the cap causing tracking. I've once found tracking going thru the rotor center to the distributor shaft too.

Check your engine harness connectors. Make sure they are clean & bright, no corrosion. I just had to rebuild my 87 GL TBI harness with wiring from a 92 loyale donor. It was doing the same - missing/cutting out at part throttle cruise. Is yours TBI or carby? If carby maybe the float level?

Bushings 3 & 5 good too?

No one was doing jumps ala Mr Majestyk, were they? https://www.youtube.com/watch?v=mAFKqkifqBM You know, the teenager that always says "it wasn't me!"

Are the drivers side "K" cross member body nuts intact & bolts tight? Are the 3 toe-in bolts on the rear adjusted & tight? Or are some missing? Stuff happens.

nevermind, wrong engine.

Hill holder return spring missing or broken? Clutch T/O arm end of hill holder cable needs adjustment because the clutch disc has worn some?

Unless you're willing to spend hundreds to buy & work with old machinery, it would be more economical/expedient to send the heads to a reputable machine shop. Valve facing machines like old Sioux or KO Lee need some TLC to get them in working order. Look on fleabay & you'll see what I mean. Search the fsm for yours to find valve stem heights. I don't know the specs but they are available somewhere.

That's the way I've seen it done. Set all the stem heights to spec by grinding the stems. First redo the seats & valve faces, then the stem heights.

Could the tensioner have bent the crank sprocket guard into the timing teeth when it failed, damaging the points of that sprocket? The crank belt guard that bolts on above the sprocket is what I mean. If it was left out when the shop put things back you may have never seen it to know(?) Looks to me like the gap to the crank sensor is too large.

I'm sure you've already checked into this nearby you, but here's a complete shortblock for you. https://www.subarupartwholesale.com/p/Subaru_2003_Forester-251-MT-XS/Engine-Short-Block/49223006/10103AB390.html 2 yrs ago I managed to O/H a neighbors NA 2003 Forester block with recon crank, rods, main & rod brgs, BUT, I had the tools to mike the case main bores to make sure the spun rod bearings didn't hammer out the main bores. Get a jdm complete or a lower end if the price is right. Your cyl heads check out OK, right? I'm sure GD & others will check in here too. It's your money & time.

Scroll down to the Kia front springs: https://www.ultimatesubaru.org/forum/topic/106807-improved-shock-absorbers-and-spring-coils-on-loyales/#comment-897956

Yes, my 87 GL wagon 4wd spfi d/r has this relay above the ecm next to the fuel pump relay.

My 87 GL wagon uses this same relay DPST(double pole single throw) ignition circuit control. Like I posted above, the black plastic Chinese relays fail prematurely. Last time it happened I was 35 miles from home on a rural road out of cell reach. 🤬 Ignition was cutting out intermittently but more frequently until contacts broke off inside the relay. 3 yrs now & no problems with these brown relays. (Now I've jinxed it.)

Take a look at the pics for this 91 Lego FI relay: https://www.rockauto.com/en/moreinfo.php?pk=934156&cc=1269446&pt=3300&jsn=389&jsn=389 Jideco is printed on the body. Don't go with the black plastic Intermotor relays. I've had 2 fail - one had broken contacts after less than 2 yrs. Intermotor is the foreign car line of SMP(Standard Motor Products) SMP used to include Blue Streak products.

Yeah Bennie, what meant was to find a copper alloy heater core with brass tubes to solder to. I found one years ago & it's stashed away for the day I finally need it. My old radiator go to shop, Associated Radiator in Covina CA had brass radiator & heater cores on hand for repairs last time I asked about it a year ago. https://associatedautorepair.com/ https://usradiator.com/cores

Adapting a different heater core is what I would do too. Find something with a like sized core, cut off the swaged hose bits & solder on the tubes from the old heater core with copper couplings. I'll need to do this too this summer. Some condensation develops on inside of windshield when parked overnight after running it this winter. It's either the heater core leaking slightly or mice breathing hard.

https://thebrassworks.net/collections/heater-cores/harrison-78 https://thebrassworks.net/pages/how-long-will-it-take-to-get-my-order 😉

You're welcome! Good luck with your fixes! I did the relay mods for Lo & Hi beams, quad headlights/halogen lamps inboard with LED lamps outboard. LED lamps do not generate enough heat to keep them from icing up. I changed the outers to halogen last fall to fix that icing problem. We do get freezing fog & freezing rain here in western Montana.

Blast from the past: https://offroadingsubarus.com/headlight-relay-modification/ https://www.ultimatesubaru.org/forum/topic/110898-dl-square-headlight-upgrades/?hl=%2Bheadlight+%2Bconversion#entry930708

Thought this would interest some here: https://www.diehl.com/cms/files/Synchronizer_Rings_Brochure_2020.pdf

My apologies, I was thinking of GL/DL which uses 2 sets of contacts to supply power to the TBI ECM. My GL behaved the same way as his XT - start, rise to 2000 + rpm, then die. Would not idle. Looked over the Haynes manual electrical schematic for 86 MPFI: The green fusible link powers a single contact ignition relay to ECM on MPFI(wht/red wire). Fuse 11 powers the fuel pump relay(blk/wht wire). Green fusible link powers fuel pump and Aux air valve(blu wire).

Snake your hand over that antenna cable at top Left of pic & feel around on top of steering column for 2 relays - one round can & one squarish. The round one is fuel pump relay & squarish one ignition relay. If there, remove the black harness screws to get at little Phillips screw holding the relay bracket. If the relay rattles when you shake it one contact pair is broken. If not there, someone with an XT shop manual needs to chime in. Only ones I have here are for GL/DL.