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For the last 4 months i have been installing an all aluminium LS1 V8 & T56 6 spd into my 86 TSI. The engine and tranny are from a 99 Firebird. $4500 with computer and harness. 305 RWP stock. Add headers, cam, a big air filter, reprogram the computer and it will be almost 400 RWP. I used an oil pan from the Australian Holden SS wich is a front sump pan and it clears almost everything. It looks like it was made for the TSI. No mods to the steering and only a little notch in the front crossmember. As for weight. The best i can figure is that the LS1 is about 70# lighter than the 2.6 and all the stuff it takes to support it. The 6 spd weighs about twice what the stock 5 spd does so it should be an evan swap. The only chassis mods were enlarging the trans tunnel and notching the frame rails about 3/4" for the radiator. I hope to have it on the road in the next month. The exhaust, plumbing and wiring are all that are left.
Other stuff i'm using:
Full set of Auto Meter ultra light gauges
Corvette motor mounts
Wilwood clutch cylinder
Howe racing aluminium radiator
B&M ripper shifter
97-98 Corvette fuel pump
97-98 Corvette fuel rail (allows use of stock TSI fuel lines)
Lokar throttle cable
I also have a Dana 44 center section out of a Dodge Viper to be intalled over the winter.