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Priest of the Car Gods
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This would be basically the same as doing a 5.0 swap, and I'm almost certain you could do it for less than $8500, even building the motor up a bit.

You can look into either '95 Cobra Rs or Saleen S351s for examples of factory 351W Mustangs. For what it's worth, the S351s pushed 505hp at the crank, stock.
 
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