Well, a somewhat small update and some success (notice the keyword "some").
This Saturday I was down in the Bay Area again. Tore the engine back down to the cylinder heads. I then backed each Cylinder Head bolt off and retorqued them (I did this after draining the radiator). After retorquing all the bolts (A couple were a little too easy to loosen), I re-installed all the top stuff, checking the torque on the lower inake and re-installing the upper intake and exhaus manifolds, etc...
After getting it all together, I decided to only fill it with water first as I've gone through about $50 in coolant over the last 6 months, and I didn't want to have to store more used coolant... 3 buckets is quite enough. I started the X up and let it idle while topping off the coolant. Things seemed to be going ok.
I next took it for a test drive around the block. Got back and popped the cap again to refill more coolant (these things are a pain to bleed, ehh?). I then jumped in and decided to take a trip on the freeway. Temperature stayed dead even the whole way on the freeway and back (took about a 20 mile round trip). Heater was blasting nice and hot (Hotter then normal thanks to only having water in the cooling system, better heat conductor). I got back from the 20 mile freeway run and popped my hood... to my dismay I again found bubbles a churnin' in the coolant overflow reservoir. *crud*
After all was said and done, I decided to risk driving the X home. I've been without a car for 2 1/2 months now, and with school starting in 4 weeks, there's no way I'll have time to get back down to the Bay Area again and redo everything again. So, I figured I will bring it home, monitor the coolant issue, get some miles on some of the new parts in the engine and if the coolant issue doesn't resolve itself shortly, I will go ahead and take it to a shop to replace the head gaskets again (Admitting defeat, I know... *grumble*).
A couple of weird things though. While I get a steady stream of bubbles in the coolant reservoir, I had absolutely no overheating problems on the 100 mile trip home. I was on the freeway going about 70 - 75 the whole way and the needle was dead steady. Another weird thing. I went to check the radiator before leaving... This was about half an hour after my freeway trip. The engine was still hot (as it usually is after a long run like that). But more surprising was that the cooling system still had a large amount of pressure in it (the upper radiator hose was still nice and stiff). I was under the impression that if you had a head gasket leak, this pressure would slowly bleed off into the offending location.
Now I'm thinking either the cylinder head leak is so small that it only shows itself when the engine is at higher RPM and producing more heat.... orrrr...... there's something else going on (Like a faulty radiator cap for example).
The X starts and runs fine otherwise, no smoke, steam, water in the oil, etc... The only other weird thing besides the bubbles in the reservoir is that the resorvoir has an odd smell, kind of like fuel, but not quite.
Out of curiousity, anyone with a V8 X who has had a head gasket leak, how much did the shop charge you to do it? I'm normal an avide believer in working on your own car, but at this point, with no house/garage to work on the X and 2 failed attempts to get it to seal right, I think I'm admitting defeat (at least for the time being).