Which intake are you running? If I recall, the 305 runs out of air at about 4500-5000 RPM.
You might talk to Sean (Storm Trooper #15) about his experience with his 3rd Gen.
Sean did the 5.3 LS conversion on his car last year. Big change was that the LS uses about
1/2 to 2/3rds the fuel as the 305 and the torque is better across the RPM range.
Trying to recall if he changed diff gears too, he can tell you.
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