Big R.I.P. I hope restoration happens, but with your voice tone and that you sayd "this looks like its the end of this project" i dont think so... I do hope for the best...
well.. unlucky.. but i hope all be fine. p.s. how much Amp you have on your home power grid? If 63A you can get hook to it with 4mm wire and same convector bridge(don't forget to add some caps to it) Old soviet 2x 400v bipolar connected in line(not parallel)
Oh no :( it looks like a damage by fault of lubrication by oil trought a oil distributions to a lubricated friction surfaces (connecting rod versus bearing in the piston). A frequent cause is clogging with dirt. Is it possible that the piston was already weakened after the previous damage to the engine and its subsequent repair... Try to announce a fundraiser for a new engine from fans Mr. Sobolev ;) This Volvo engine makes mi bad impression from the beginning in your videos :/