Not really, if this engine is shot then I'm throwing the car away haha.that sucks man, is a jdm d16 longblock a possibility?
Did a third valve clearance adjustment today, and now the ticking is gone! The engine sounds much better, which is nice.
I also got a chance to look at the cam shaft, and saw that the two lobes which had some rust on them from sitting around over the winter had cleaned up nicely without any serious pitting, so hopefully it'll last.
Drove around town ~10 miles and checked the oil dipstick. Looks clean. There's a chance that the water contamination was from condensation in the engine when we put it back together, so I'm going to do another oil change in about a week and know for sure.