Water water every where...and my engine took a drink!

Finally ready to contemplate what to do about the engine. I decided to dive right in. I am not sure why this amused me but it did. If there was any ever doubt this car had been submerged at one point it was removed upon draining the oil. I pulled the dip stick and knew there would be trouble. It was dripping with grey sludge that used to be oil and clear drops of water. I rolled up under Annie to find the drain plug. Amazing, it wasn't rust frozen on to the pan and turned easily. Then came the surprise. As I unthreaded it, water came gushing out. About 3 gallons of clear water with a little oil residue.

Alarmed and telling myself I told you so as I was recalling the power seat motor I replaced and got working again was rusted from what had to be prolonged exposure to significant water, I called it a day and went to the Lincoln Forum and asked some veterans what I was about to get myself into. The kind folks there gave me confidence and I went back and pulled the oil pan and looked up into what happens to an engine when it gets submerged and holds water for multiple years. Not a pretty sight. Brace yourself!

So I am looking at rebuilding my Lincoln 368 Y-Block. What else can I do? Its the only way. Do it right and get her back on the road again. I am already researching and I may have found a local machine shop/engine rebuilder who can help me bring Annie back to life. Its just a little rust baby! Not the end of the world. We can do this!