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It has been noted that the cap on the transom is cracked.----Makes it weak !-----So find aluminum channel ( about 7' ) to make a new cap at the top 3'.----And also on the bottom with 4' long.----Or make channel from square tube.----Make the plywood 10" deep and full width as it now.----Install...

Drain gear oil.-----I think that lower unit must come apart for inspection.

A 10 HP motor can idle ( 45 gallon drum ) for about 1 hr with no fear of the water getting too hot.---No need to run a hose into the barrel at all.

On his 7.5 / 9.8 models the thermostat does have something to do with the pee stream.

Agreed----Water MUST be 6 or 8 " above the impeller !

But you see a lot more old OMC motors,----OMC used stainless shafts around 1950.---Mercury switched 25 years later.------No special tools or shimming required on those " stupid gearboxes " either.

Did you have the propeller shaft out of the lower unit?-----Some manuals belong on the little house with the 1/4 moon in the door

Correct ---Clearly stated ( I think ) that there is no adjustment at the lower unit.-----And what manual are you reading ?

The lower shift rod screws in all the way.----Then backed out so that it " leans " forward.----Line up the notch in the coupler BEFORE you put the bolt in.----Done.

In a bucket the water MUST be 6" above the impeller.

Well----$5 spent is NOT a rip-off.-----Take it as a LESSON in my opinion.

I would remove that pin and make a replacement.----I would take an old Johnson / Evinrude stainless drive shaft from the 1960's and make that pin.

Those cowlings alone are " hefty " in my opinion.------Got one of those for free last fall at a dealer.-----Only thing to do on those is a complete teardown !

Factory parts kits do come with instructions.----But good dealers disappear because of internet sellers.-----And the downward spiral continues.

???----The plastic drive keys / bits last for 20 years or more.----Your motor is " special " I guess.----And perhaps your motor does not have a 1982 lower unit.----And there may have been 2 different plastic keys.----Some " club fisted " person installed the wrong one ?

Best fuel economy is at 3600 -3800 RPM.-----A lot depends on the boat as well.

Some " club fisted " clown on E-Bay sent you the wrong parts !!

Have a few of those white motors myself.

See post #6 re port size.----Piston rings in the lower picture appear to be like new.----

I have worked on these outboards since about 1968.----Good luck getting this motor sorted out.