340 Timing / CAM Issue

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Those look like stock non-performance springs. I'd replace those - that's probably why the cam died. Stick a set of Comp 901-16s on it.
I also would think the best case is find a replacement engine. That one - that's a huge tossed together pile of sh_t. Hopefully your "buy it and try it" approach at least leaves you parts you can reuse on the next one.
To the guy you bought it from - don't quit your day job - you really should not be allowed near an engine again and you owe the buyer some $$ back.
 
How about installing a 318 or 360 magnum? Pretty easy swap and good ones at a local yard would run 500-600 bucks.
 
The wrong valve spring - too light or too heavy - is enough to lead to lobe failure these days. Those look like something the 2bbl 318 would have on it. Of course in terms of mechanical feaux pas this this already has I'd call that a minor thing.
 
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