-EDIT- 29.05.2014 Updated the current spec to the first post:
'86 2.0 iS with:
Cossie pistons & rods.
Mildly ported injection head.
Burton BF134 + hard pad followers + Crane valve springs.
Cosworth GrpA headgasket.
Chinese GT3582 turbo.
38mm wastegate.
Big intercooler.
Engine management is Megasquirt 1 V2.2 with:
-TFi mod
-External 3bar map
-Electronic boost control
BOSCH EV14 670cc injectors.
3" exhaust.
307 hp & 380 Nm @ ~1.5 bar
XR4i discs at front (Ferodo brake pads) and disc brakes at rear.
XR4i front antirollbar.
Spax -40 springs.
Sierra ZF PAS rack with Astra G electric hydraulic pump.
7.5" 3.62 diff with "tightened" viscous LSD.
Stripped interior, bucket seat for the driver (+ Momo Prototipo

).
From here on the original post continues:
-EDIT- 20.8.2011 updated the facts to the current state and some new pictures too:
Old pictures from the original post below:
As you may see the paint job on engine bay is fugly but it'll do for now.
Got this for really cheap because it didn't start at all, no spark or fuel. Hours job of testing wires relays etc. and finally we realized that the problem was just a one faulty connector on a wire what goes from battery + to the fuel pump relay. After replacing the connector it fired right up and ran beautifully!
After that we disabled the recirculation from the dump valve and after that fired it up again and adjusted the ignition timing to where it should. Let the engine warm up and listened the engine and it sounds really good.
EEC-IV with the Cossie injectors is an interesting combination, needs some tuning because now under 2500 rpm it doesn't run properly, so rich that it actually gives a strong black smoke, but after 2500 smoking stops and feels really rev-happy (like turbo engine should).
Anyway had some fun teasing neighbors with thick black smoke.
Hopefully adjusting the spring in the MAF is enough to get leaner AFR on lower rpms, get it stiffer so it won't open the flap inside much before it hits boost.
Some blue smoke and dump valve spitted a bit of oil out, but the engine has been standing for at least a year so I'm not badly concerned yet. Tho it is possible that the turbo needs an overhaul, we'll see about that when I get to drive it at least a bit.
Water hose leaks, gonna be an easy fix (reason for the dish under the car).
Current to-do-list before MOT:
Oil change
Replace timing belt
Get engine to run properly
Remove dump valve
Replace right track rod
Some electric work
Lighten it up, meaning that the interior is going to get stripped some
Tidy up the cockpit
+Some other little stuff like the front grille, gonna put a standard iS one in white color
Plans don't include much buffin, or making it a looker of any kind. Semi-rat-look sleeperish style is something I have in my mind.
LSD would possibly be in future buy list too.
Dunno what kind of clutch it has, if it's stock it's possible I have to get a better one before I can put enough boost for 200+ bhp.
Already have stripped quite much from the interior, there's not much to strip behind the front seats anymore.