Tom,
Looks good!
Now, if you turned the engine over with the idler gear out, the camshaft wouldn't turn and your valves wouldn't move.
Thick blue smoke = oil burning which I don't think could be a valve problem.
You have to determine how the oil is getting into the combustion chamber. I wouldn't expect sloppy guides to let enough oil through to cause thick smoke.
In my experience the oil passes the rings, usually after the engine has "sumped up".
I'm pretty sure that you would know if you had a bent valve because the engine would run rough.
After nine years, I would be a bit wary of running an engine without looking at the bores. They tend to get a bit rusty.
Trev.