I am not too sure about this. You can see the timing chain in my 3rd image above. I really didnt understand the measurement that the manual wanted to me take. The drawn diagram wasn't super clear. It sounded like if that protruding piece was more than 9mm above the other than I need a new chain. My quick measurement was right at 9mm. Is this supposed to range from 0-9 or is it only ever 8.5-9? I couldn't get a sense of how bad it might be.
Are these timing chains easily replaced? I see OEM sites are $100+ for one. My knowledge on this is ZERO.
Sounds like a good plan. Like I said, valves and cylinder look great so im not worried. Got 182 psi on compression check before teardown.
I'd replace them man. Here's how it works. The tensioner has a curved plastic part that goes down the jugg and that little metal button thing at the top. When a new chain is in, the plastic tension part is more straight, which causes the top end of the plastic to stand taller in the metal bracket. When that stands taller, the button part you see in pic 3 does not stick out as tall. As the chain gets loose, the plastic tension part gets more curvey, which lowers the end, and the little button looking thing there rises higher to compensate and to keep the tension even. That's why it asks you to measure that exact measurement. The smaller the number, the better.
The manual should tell you that to take all tension off, you grab the plastic tensioner part and pull it all the way up, while pressing the metal button all the way down, then you put a brad or a small nail through a hole in the plastic which keeps the plastic part way high, and the metal button flush with the metal bracket. As the chain stretches out, the plastic part sinks lower, and the metal button gets taller.
This is hard to explain in text. LOL
Here's pictures from my rebuild:
BEFORE: Crap ... I can't find a pic of before. It looked like yours though.
After:

The button thing doesn't stick up as high.
Here's another shot. from above. You can see how high the actual tension peice is on this (it's nearly flush with the top of the metal bracket. The little metal button part sat lower (can't recall the exact measurement)
Picture of the tensioner being held straight, with no tension on the chain. Look close to see the cotterpin I used to hold the tension off.
I'm half going off memory here, so bear with me.