[Jake Raby]

Hmmn, This is a classic issue for that particular engine. I don't believe that you need an engine, I believe that you need a repair.

No compression on one cylinder and those faults could mean a munched cam lobe or lifter (both super common with that M code engine) or even a broken valve spring. Any of these will lead to metal suspended in the oil, but in the hands of a specialist that's resurrected engines for over a decade, it may not be terminal. At the same time, not calling the tow truck could have lead to driving the car to death.

BTW- The factory engine program is gone forever- there are no more completes, just short blocks that are being quoted at 18-20K. That won't help you, because a short block uses your old heads, which is probably where your damage lies.

Get another opinion, get several and go invasive. Assume nothing, quantify everything.

Do this right, or you'll be doing it again.

Your engine code is synonymous with failed cam lobes on the outboard intake valve for cylinder #1, I've seen dozens of these fail, BUT out of all those we've saved all of them but one. At 64K, its worth seeing the extent of collateral damage before throwing in the towel. No one else will tell you this- they only know how to swap things out and at the end of the day, saving an engine probably doesn't mean more to them than their paycheck.