Complete new barrel assembly and piston bored to the correct clearance, plus the oil feed drilled bellow the bottom ring groove will fix all that........Bill is correct, sloppy guides wont cause that much oil on the piston and the spark plug. Mucking around with the old barrel assembly will be too much trouble, the new liner will also restore the correct fit up in the head recess to give correct sealing.........If you've gone this far you need to fix it properly or else it will give more trouble sooner than later.