For rats to nibble those pistons and chambers like that, it was either detonating or running very hot inside at higher power levels, and as we know, in a circa 2 ton draggy van, that engine has to be at high power when hill-climbing or cruising on the motorway, more so when half of it isn't running as it should.
Can you drop the valves out some time so we can see the seats?
A testament to its strength, I've seen a head with valve seats loose (very) that drove back from Germany
A 2.2 version of the CU with electronic ignition and other improvements would have been quite a beast!