I agree with u about not talking down what one wants to do as a project. I am a big diesel fan and I know that is one of the worst motors made along with some later motors in the early 90s. speeking for my self I say do a diesel swap just make it a newer motor. it might not be a ls but it will be one fast truck.
http://i107.photobucket.com/albums/m...smoke118-1.jpg
2001 GMC Z71 with 4.3L V6 flowmaster mufflers and intake spacer with a K&N cold air intake and a super coil along with under drive pullys and mudd terrian tires
Put a Dirtymax in it if you want to go with a diesel. Otherwise I would go with a ls motor.