Hmmm...........interesting one this, the b204 doesn't usually sludge - more often it's the b205 thats full of tar and bits of breather hose. Yours must have been abused or unloved and fed on mineral/semi-synth oil.
How bad is the b204? Is it terminal? Got any knocking from the big ends?
It might be worth dropping the sump on the b204, giving it a good clean then putting it all back together with fully synth replaced every 3,000 for a couple of changes. As per the posts above it would be possible to swap over to the b205 block, but it's a lot of work and the internals are weaker - probably still strong enough for what you'd want in a vert though.
As to the outside of the engine - there's quite a few threads dotted around here with owners who have shinyitis and magpie tendancies.......more than enough tips to clean up the engine quite easily if you've the elbow grease
