I'm not sure where the sender will be on that engine but I'd expect it on the lower part of the block, probably handy the oil filter. Just look for a wire. take the sender out and install the gauge. If you want to check both, install a 'T' and put both the sender and the gauge on. That said... I think you found the problem with the coked oil. Likely a chunk of that is stuck in the pickup and it's restricting flow. When the oil thins out it's able to flow sufficiently (somewhat) through the obstruction. To that end, the Lucas is not helping you because it's a high vis additive... Higher viscosity, less flow. Less pressure. If the problem was worn bearings then the high viscosity would help.
I know how you feel about not wanting to spend the money on a crate engine. Believe me, I do. used to be the same way... We put four Windsor's in an F350 we had. The last one was a NAPA reman. The other 3 were half as$ed rebuilds. If I had to do it over again the first one would be a reman or crate engine. It would go on plastic until I could pay it off. Just saying...
At this point though... you need to at least drop the pan and clean the sludge out.
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