I guess there are various options open to you. Nothing wrong in trying to fix it. Probably the oilways have got gummed up with the oil/water mixture and starved the crank or camshaft (depending on what sort of knocking noise you have). As its a Pinto then you should be able to get another one relatively cheaply and plonk it in to get the car going again. You could then look at fixing the other lump in your leisure if you wanted a spare motor. You could also see it as an opportunity to upgrade the engine to something else as well I guess, Zetec, Duratec etc.
John
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