It's a 93 626 with about 125k miles on it. Until yesterday it had been running great. It was due for an oil change (200 miles over what it should have been) but other than that was great. I noticed some tapping when I started. Then oil light came on when I went around a curve so I pulled over at a gas station and checked the oil (less than 1 mile of driving since startup). No oil registered on the dip stick, even after I added 2 quarts (4.5 quart capacity!!).
I took it to the mechanic next door and had them check for leaks and do an oil change. The guy said he couldn't find a leak and changed filter and added oil. He said the tapping is the lifters and didn't think it was that big a deal. I haven't noticed any oil spots under the car, but I park the car in a public lot so it's not that difficult to miss oil spots if there were any.
This morning the tapping is still there, and I noticed the car doesn't seem to have as much power as before. The tapping goes away if I can keep the car under 1.5k rpm, but that's pretty much impossible above 45mph. When I checked the slip on the oil change it shows 6 quarts added (too much for that car). I didn't notice any smoke or anything in the exhaust.
To add to the confusion, the car was inspected last month and passed emissions w/o any problems.
I plan on taking the car to my regular mechanic this weekend, but I would love to have an idea of what is going on and how bad it is before I get there.
Any ideas? Suggestions? Car buying tips?

*Update*
The mechanics words were, and this is is a direct quote, "you're fucked." He suggested I take the car to a dealer and try to get them to trade it in w/o hearing it or to sell it for parts. He didn't really open it up or anything, but he listened to where the noise was coming from and said that the lifter was probably hitting the cam (shaft?). When he tried to pull the spark plug wire out, one of them wasn't coming out properly and he said that's probably the cylinder that is messed up.
I spent all day today walking to car dealerships around boston
Bye bye, 626. It was a great 14 years *sniff*
*Update 2*
I've decided I'm not keeping the car, but just out of curisoty I took a video and some pics to see if it'll help decide more conclusively what's wrong with the car.
This is what the engine now sounds like: http://www.youtube.com/watch?v=i6wFv62JG2U halfway into the video I give the engine a little gas and you can here the tapping go up with the rpms. Keep in mind that the video doesn't capture just how loud the tapping is, you can easily hear it from across the parking lot when the car is idling and it gets louder with more rpms.
This is what the engine looks like now: IMG_0040.JPG
That weird white stuff is new, it wasn't there a few weeks before the problems started: IMG_0042.JPG
This oil looking stuff over here is new also: IMG_0043.JPG. I don't know if it makes a difference, but that's the oil dipstick right there.
I took it to the mechanic next door and had them check for leaks and do an oil change. The guy said he couldn't find a leak and changed filter and added oil. He said the tapping is the lifters and didn't think it was that big a deal. I haven't noticed any oil spots under the car, but I park the car in a public lot so it's not that difficult to miss oil spots if there were any.
This morning the tapping is still there, and I noticed the car doesn't seem to have as much power as before. The tapping goes away if I can keep the car under 1.5k rpm, but that's pretty much impossible above 45mph. When I checked the slip on the oil change it shows 6 quarts added (too much for that car). I didn't notice any smoke or anything in the exhaust.
To add to the confusion, the car was inspected last month and passed emissions w/o any problems.
I plan on taking the car to my regular mechanic this weekend, but I would love to have an idea of what is going on and how bad it is before I get there.
Any ideas? Suggestions? Car buying tips?
*Update*
The mechanics words were, and this is is a direct quote, "you're fucked." He suggested I take the car to a dealer and try to get them to trade it in w/o hearing it or to sell it for parts. He didn't really open it up or anything, but he listened to where the noise was coming from and said that the lifter was probably hitting the cam (shaft?). When he tried to pull the spark plug wire out, one of them wasn't coming out properly and he said that's probably the cylinder that is messed up.
I spent all day today walking to car dealerships around boston
Bye bye, 626. It was a great 14 years *sniff*
*Update 2*
I've decided I'm not keeping the car, but just out of curisoty I took a video and some pics to see if it'll help decide more conclusively what's wrong with the car.
This is what the engine now sounds like: http://www.youtube.com/watch?v=i6wFv62JG2U halfway into the video I give the engine a little gas and you can here the tapping go up with the rpms. Keep in mind that the video doesn't capture just how loud the tapping is, you can easily hear it from across the parking lot when the car is idling and it gets louder with more rpms.
This is what the engine looks like now: IMG_0040.JPG
That weird white stuff is new, it wasn't there a few weeks before the problems started: IMG_0042.JPG
This oil looking stuff over here is new also: IMG_0043.JPG. I don't know if it makes a difference, but that's the oil dipstick right there.