The 340 is out....again.....
My take on having the pickup tube resting against the inside bottom of the pan is analogous to taking a straw and putting it against a solid surface and trying to suck air or anything else through the straw. If it's making full contact as mine was, to the point where it gouged the pan, how could it possibly be drawing oil up and out of the pan efficiently? In any event, the motor was toast and now it's rebuilt, so hopefully by the end of this week it'll be up and running. I'll post video & photos when I can.