Thanks so much for your replies. As a complete first timer (this is the first time I have ever tried to tear down an engine and fix it (and I am enjoying it immensely) its very handy to have experienced folk help you out with stuff that seems SO obvious that the book says to do 'it' but not how.
I think I have found the problem now...bent oil rings. I think that explains the plumes of blue smoke and the plug fouling every 2 minutes.
keep those tips coming!
thanks again.
Dave