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I realize that this is an old thread and you have probably solved your problem by now, but I thought I'd get my two cents in hoping that it helps someone. I found this post when I googled Onan valve adjustment. I had the same problems that you discribed, Jeff. I had tried every thing! New ignition pickup (over $100), different coils, new plugs & wires. Nothing helped, as soon as it warmed up one cylinder would start missing badly. Next I cleaned the carb (not very dirty) and checked for leaks in the intake. When I had the intake manifold off I checked the valve lash and discovered that there was zero lash on the intake valve of the cylinder that was cutting out! I couldn't find out what the lash should be so I set all the valves at .013. Problem solved although I think the lash should be tighter as now you can hear the lifters ticking. Anyone know what the setting should be? Here are some things that I discovered while trying to solve my problem that I hope will be of use to others with Onan engines.- Ignition pick up module (behind flywheel) can be tested with an ordinairy test light; connect the test lead to the black wire coming from the pickup, with the key on rotate the engine by hand, if the coil is good the light will turn of & on. If you crank the engine with the starter the light should flicker.- Instead of buying a new, very expensive Onan coil I tried using two Delco coils, one per cylinder. They seem to work fine and produce a good strong spark.
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