Mike,
Most cars designed/built in the 60's ( let alone 40's or 50's) were expected
to burn a quart every 1500 miles or so (at least US built cars... so I assume
the same for MG's). I know my '72 would burn a quart in that range from new.
It sounds to me like you've got a little leakage past the valve guides and
nothing drastic to worry about. Now if you get to burning a quart every 500
miles or so and get a nice plume of smoke when down shifting and decelerating,
get ready to do some motor work, and least head work.
MBG (My best guess..)
Harlan.
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