Chris, I would say yes most possibly a sticky lifter. I would be interested to see if holden lifters were used, as this isn't at all uncommon.
As regards the diesel option, only do this for about 30 minutes, and avoid driving the vehicle, just idle it and use no more than 500ml.
(Edit, just watched Vid, definately sounds like cam followers to me.)
JC
The Isuzu 110. Solid and as dependable as a rock, coming soon with auto box😊
The Range Rover L322 4.4.TTDV8 ....probably won't bother with the remap..😈
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