318 Distributor install question

Yes... I would follow the shop manual, as its stated on page 9-35, doing things correctly first handedly will insure you not second guessing yourself afterwards...

I agree wholeheartedly, unfortunately I didn’t build this engine. It came with the car and I am using it until the 408 is ready. So I am hoping to get it running right with minimal tear down. It is on a fresh rebuild, so fingers crossed it runs good for a couple of years