Thanks Rodeobob. I've upgraded my assessment of the spark - assisted by having someone else on the pull rope! Its got some blue in it and looks "reasonable" Have reset the governor with help from the manual and got it all back together. Is running pretty well. I figure that part of the governor "plateau" may have been due to running without the starter and cowl attached - not appreciating it's role.
Now seeking to get a little more out of it - to my ear its not getting to 2 stroke high revs. Could that be due in part to having contacts at 15 thou?
I notice that after a 1 or 2 min run there is unburnt fuel residue in the manifold / muffler. Is that due to early or late timing, or could that be expected from the prime when starting?