Well... I got the engine in bits and took the pistons out.... Hmmm.... wasnt expecting to find what I did though.... nothing... found nothing... it all looked ok, fresh,no broken rings, the bore was ok, ring gap was ok so you could imagine how not happy I was feeling.... hohum....
I took the engine down to my engine guy to have a chat with him... told him the story so far... (the same guy that did my head) we looked at it for a while and scratched our heads and upon a close look at the rings, he spotted something!!!
BINGO!!!!
This was what he found....

Im no engine guru and had no idea what he was looking at until he told me.... notice the difference here?

The muppet who assembled the engine before me overlapped the oil control ring and there was no tension on the rings either side!!! Apparently, they must not overlap but butt up against each other to give the ring the tension to control the oil and be firm in the bore......

So... the plan of attack is hone, new rings and bearings and will try again from there.... I cant say I have not learnt anything from this, my first mini.... its all good... heading in the right direction now....
Cheers