Re: Pulled spark plug wires
Is it a big job to change the head gasket
Not difficult at all. You will need a torque wrench and of course a new head gasket. The head gasket is BRP part number 0307069 or Sierra 18-2957. It's only about $20. The torque is 14 to 16 ft/lbs. I would do 5 ft/lbs all around in the sequence below, then 10 ft/lbs, then 15 ft/lbs.
Before I would order a head gasket, however, I would remove the 10 head bolts and take a close look in the bottom cylinder. It is also possible that you have a crack in the block or something like that. If that is the case, the motor is pretty much a boat anchor, in my opinion, but let us know and we can help you evaluate it. Of course, look closely at the old head gasket as well. It is peculiar, but not impossible, that you would have a blown head gasket and still have reasonably good compression readings, although if I recall your bottom was a little lower then the top reading. I have seen it before and I am hoping that it is the case here as well. Replacing a head gasket on an outboard is easier then pulling the flywheel, in my opinion.
If you are going to tackle the problem in the morning or some other time, give each bolt a reasonable tap with a mallot and punch of some sort, tonight, to try to break any corrosion on them and if you have any penetrating oil, give each bolt a shot of that as well. Give it time to penetrate. Sometimes the bolts can get corroded if the last guy didn't use any anti-sieze on them (which you should do when you put it back together).
Good luck. It does look like water is getting in that bottom cylinder and your motor has all the symptoms.
Note: The diagram below should be used for sequence only. The torque values are not necessarily for your motor.