Hulkss,
Yes, I installed new valve seals.
I am 99.9% sure the umbrella vent valve is installed correctly. It is smooth on top and has a protrusion that sits through the hole in the filter it sits on. That is how I remember it.
I assume the rocker box gasket you are referring to is the one that sits between the rocker box and the cylinder head. For some odd reason I recall double checking that before placing the rocker box base back on. So that should be ok.
I definitely like the idea that the valve may bed itself into the seat with some running. I find it hard to accept based on the amount of white smoke coming from my bike. It reminded me of the old Adam West Bat Mobile. Yeah, that bad.
I only flex honed the now good cylinder. But both cylinders were measured (0.001 out of round) and got new rings.
As for cracking the head, I did that prior with a breather bolt on the rear cylinder. Yes, there was oil in the blind hole and proved the theory of hydraulic pressure. I may have even posted about that. I now install that screw with a liberal amount of Permatex Copper and it seals just fine.
To be on the safe side I plan on ordering the following tomorrow morning: intake valve, exhaust valve, 2 valve seals, head gasket, rocker box base gasket, and rocker box top gasket. I want to have those things ready to go just in case.
If it is a valve seal I guess I did not seat it correctly or I may have ripped/tore it installing it. I am getting new valves since it worked so well on the rear cylinder. On the rear cylinder I only installed a new exhaust valve and I hand lapped it a bit prior to installation. And of course the damn gaskets are one time use so I need new ones of those.
I am just really puzzled why I had great results from the leak down test prior to firing the bike. Could something have come loose? Could gaskets installed incorrectly cause this complete lack of pressure?
I may be able to start the tear down tomorrow. I will keep everyone up to date.