Here'* some pictures. Had a LOT more, but they turned out horrible...

Here'* the fantastic gaskets I replaced....


Couple shots of the L.I.M. (Didn't think to take any before we put it in, so I don't have any of the ports on camera...)



Mostly back together at this point.


Everything is now back together, and I'm really fearing that it'* seized..... We tried to turn it like suggested, and it didn't budge. Couldn't get much leverage but it should have at least moved a little....

Were all the plugs and belts already on the motor?

All disconnected.... Still wouldn't budge.

Another update....
Did everything suggested, and still nothing, same thing. I decided just to get a used motor so I tore it back down completely today, decided to clean the parts I'm keeping and re-using, and there'* a lot of coolant in the front valve cover........ WTF!!
Don't know where it came from, but it'* definately coolant, and quite a bit of it too.
How could coolant get into the valve cover!?? The gasket is fine...
BTW, the first time it was torn down, only the rear cover came off because it need a desperate cleaning, so the front was never touched
Any more help is greatly appreciated

Dare I say it....cracked heads?!? :? It'* extremely rare on our cars, but yeah.

I have heard that 96 and 97 L67 are known to crack heads.. I thought it was a compression issue, not a coolant leak issue.

I'm in the same realm as Wildman.. it seems like a head must have had an issue.

Do I look for actuall physical cracks?
And would there be any other way coolant could get there?

???

Cracked heads are such a remote possibility, I wouldn't even waste my time looking.

Gasket, then?