It does sound like piston blow by .Are the Barrels and pistons new ? .New rings are only worth fitting if your barrels were very low mileage with no ridges at the top of the barrrel .Any ridges will break the rings and if they do survive will not seal properly causing the problem you describe.It is also possible the rings moved on assembly so the gaps are inline giving the same problem.I personally prefer to set the timing with a strobe especially with an old distributor which could have weak springs or defective vaccum can.You can check the advance is working ok which could also be your lagging problem.I also use a leakage detector rather than a compression tester ,you would be surprised what a difference it makes.
Good luck.
Sunroof53 wrote: