You're wanting quite a bit of extra power from that engine. To do that, you will need to get more fuel into the engine and you will need to get it burned efficiently. The "extra" parts will help you get there.
The 350 cam gives you a little higher lift and a little longer duration. The LP head has smaller combustion chambers for higher compression. There are tubes cast into the head called "runners" to take the air-fuel mixture to the valves and from there into the cylinder. Cleaning up those runners, and matching the manifold ends to the head ports gets you better air-fuel mixture flow.
With more air-fuel mixture under higher compression you could benefit from a hotter spark. That's how electronic ignition could help.
This project will not really be cheap, which is why a "worker" Farmall M might be a better choice for that generator. It came with the extra ten hp you want built in.
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Today's Featured Article - Identifying Tractor Noises - by Curtis Von Fange. Listening To Your Tractor : Part 3 - In this series we are continuing to learn the fine art of listening to our tractor in hopes of keeping it running longer. One particularly important facet is to hear and identify the particular noises that our
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