Hallo!
WoW that original beauty is GORGEOUS, i'm with you...I dig that classic look too.
A 1977 engine already has electronic ignition- GM's HEI was introduced in 1974.
$1500 is a tight budget start to finish for a total package, this thread will be interesting! And fun!
Converting to "roller valvetrain"
is cost prohibited and a ridiculous notion...I apologize for them.
A four barrel carburetor will seem like a HUGE power improvement I think although results may be mixed.
You will likely add a few ponies but at a great long-term cost that demands consideration.
Gas mileage WILL suffer drastically so be prepared for that and be sure to closely guard that 2 bbl carb. You may want it one day!
That said, I believe that a four barrel carb is the primary most logical choice for "improved" performance on your budget.
GM made some very good aluminum intake manifolds for Quadrajets.
#3932472 for example..lol.
I would seek out a factory aluminum intake and get some "corporate blue" paint to run a Quadrajet with. You WILL like the improved power AND response = paint it up and it will be awesome!
I think if you bought COMP CAMS 1.52 ratio "Magnum Roller Tip" rocker arms, they can yield a very decent "bang for the buck". You safely and without further modification, increase rocker arm ratio / cylinder head flow AND enjoy the benefit of being ensured that all valves see uniform lift. This is VERY underrated albeit VERY important.
Re-paint the valve covers, nobody is the wiser and it'll look great plus rev further and more freely.
Win/win!
You could / I probably would / repaint and "rebuild" the factory air cleaner and install a K&N air filter. I think it's 11x8 or something close and "semi gloss" black paint. Verifying proper function of the E.F.E / HEAT RISER is essential.
Up to this point, you really haven't spent much money in the big picture...but speaking of that big picture, exhaust is the other side of intake flow and that must be addressed also. It doesn't have to be flashy or loud, but there are many ways to improve function without detracting from your goal.
I believe two pipes is quintessential. I also believe they should be connected as close to the engine as (reasonably) possible. Tailpipes are a must or you kill exhaust velocity and it WILL drone. You can spend as much doing the "back side" as we have up front.
For your power levels I think 2 inch pipe or 2.25 is desired. Are the ram's horn manifolds worth it?
I have zero experience to speak from regarding but do not believe their reputation is fiction.
Soooo, let's assume we've spent HALF of your budget assuming custom bent exhaust at a shop.
Aluminized pipe or GTFO.
One muffler or two?
We must also assume that $2,000 REALLY IS the high side of the budget and if we're lucky, you still have $1,000 left.
What are you going to spend it on? I am not that optimistic lol. I believe we are closer to $12 or 1300 improving the intake and exhaust and consider $750 left tops.
Do you think that is enough to "rebuild" your cylinder heads and put it back together? Hope for #882s.
P.S. lookit
@Charlie <40 minutes..
*edit*
"How to spend $1500 on engine"
I think we're pretty close in Amsterdam. On second thought - in addition - I would also buy a new HEI distributor, ($50-100) MSD StreetFire wires (they're black), new AC Delco R45TS plugs, change the oil/filter/PCV valve, fix/re-route the vacuum lines and enjoy it... Pop the hood and show it off!
That's $1500 I bet.
YeeHawww!
Maybe think about the heads for later...that's where the real power is.