Be sure to check the liner projection is within specifications. Bob
Clean the block with emery cloth, need to get all the carbon off. Make sure the nozzles are good and they are tight, kind of sounds like the # 1 may be bad and over fueling. I would go with Cat nozzles, I had a set of aftermarket and the tractor ran poorly, put in a set of Cat, the difference was night and day.
Run a die over the threads on the studs and sure the nuts are good. I use a die grinder with roloc abrasive disks to clean gasket surfaces. I also use copper spray on sealant. I buy it at the local auto parts store. It makes the gasket sticky to help seal it.
Use this sealer, both sides of gasket.
I used the 300 Permatex - first couple of start cool down (after re-torque head) had some seepage - it cleared up after a few more cycles. The 300 does not get hard and continues to seal? Bob
Guess I'm the black sheep, put mine on dry, no leaks so far. We'll give her a good workout in Tulare and see what happens