OK, Engine is out.....now what ????

[Rob]

In my quest to figure out what is grinding in my engine, I pulled it tonight. Holy Shmokes was it ever hot in my garage! I had sweat coming out of places that I never imagined

Anyway, there was a bit of oil leaking from the engine when it was in the car. It came from where the engine meets the tranny.
There is a bit of oil in the bellhousing, but not much.

I also noticed that I can move the shaft that is coming out of the tranny (sorry, don't know the name of the thing), there is some play on this, is this ok ?

So what to do know, I want to take a logical approach, without taking more apart than needed......

Thanks,

Rob.