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just replace the valves that hit the piston since theyre most likely bent!
i forgot to tighten one of the cam sprockets when i rebuilt my ka ='(
the valves hit cylinder one and it looked exactly like yours
i just took the head to the machine shop to get the valves replaced and put the head back and my ka has been running perfect =)
good luck
and congrats on getting a coupe that cheap!
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