Oval Port 3L w/ the option to turbo it down the road. Aren't you doing all of your own work? Why do you need $1000.00? You can pick up a motor for ~$400 and toss it in there, just to get the thing running. Don't go through all the hassle of a full rebuild if it doesn't need it. If the car runs fine after that, it's your decision to keep it or sell it. Like has been mentioned before, you can sell the car as it sits for pennies on the dollar, or put a few hundred into it and sell it for what it's worth!
Mark
