Installing Mini main studs

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On this block, this is how much the stud sticks out through the nut, and is being measured with calipers, (no washer) and needs to be shortened so it is flush with the top of the nut.

If you want to go the route of removing the top threads from the block you really need a drill press (pillar drill in England) or a vertical type mill.
Use a 15/32" drill, and you MUST have a stop of some sort set up to control the depth accurately.
In actuality only the end mains  need to be done.

This is what you are looking for, studs flush with the top of the block.

If you have a lathe, then this is the easiest and most accurate way to do this job.

Put the block back on the gearbox and mark the area on the webs which need to be relieved.

The front web is a little more tricky to get at, but you can mark the inside OK, and then mark the other side later.

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