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I would still be inclined to flush it through and then see if it works ok, which it probably will. If the oil coming out when you flush it is clean then you should be ok. Nice job so far though, nice to see someone taking the trouble to do a proper job of it. Looks like it's in pretty good shape. Reminds me of my old Harrison lathe, looked awful at first sight, but under all the dirt it was in really good condition.