I adjusted my lifters awhile back in the 223. A couple were set to close. Book said .019" and some were around .010"
Anyway it runs a little better but it does "clack" more and i have no experience with solid lifters. Will solid lifters sound like a diesel ?

 

It should make an almost pleasant "tick" sound. Are you sure you were at TDC when you adjusted them (or on the heel of the cam)? Finding them that tight makes me think maybe not. Was the engine dead cold, warm, hot?

 

Adjusted as per my maintenance manual, TDC, cold. The .010 was set from the previous owner

 

When working with mechanical lifters a little tick or clatter is good. That means that your valves are closing all the way and allowing a little heat transfer between valve and head. I adjusted my rockers to tight on one of my MG's and ended up with two burnt valves within a month. Live and learn.

 

I don't know the history on your engine (rebuilt?), but assuming it's just a good-running old engine, there can be an accumulation of wear on the cam, lifters, rocker arms, etc, that piles up. The quieting ramps on the cam may be worn, the lifters could be flat or concave, the rocker arms may be sloppy on the shaft, the valve guides may be worn. The timing chain could be sloppy, too. All can make more noise. Not that it's necessarily anything to be worried about, it may just be you're used to hydraulics?