The prospect of stumbling upon a dusty classic car tucked away in some forgotten corner of a warehouse or barn in the middle of nowhere gets car restorers up in the morning. While plenty of different vehicles are at the top of a mechanics project build list, the muscle car seems to be the most commonly sought-after for restoration.

In the case of the Ford Mustang II King Cobra, the term “muscle car” is used very loosely, though. The oil crisis of the 1970s had decimated the American performance car, with a slew of dreary economy-compliant boxes and muscle car pretenders taking their place.

The pretenders in question are commonly known as “decal-GTs” – essentially cars that looked like the fire-spitting muscle cars of yesteryear but with performance that could barely trouble a Toyota Prius. The 1978 Ford Mustang II King Cobra is perhaps the ultimate example of an “all-show no-go” decal-GT, and Dalton from the YouTube channel Pole Barn Garage has picked up this King Cobra barn find that’s been sitting since 1997 for a budget restoration project.

This Ford Mustang II King Cobra Barn Find Is In Pretty Rough Shape

1978 Ford Mustang II King Cobra Video Key Details

• The Ford Mustang II was conceived during the 70s oil crisis and, due to environmental regulations, prioritized economy over performance
• The King Cobra was a “decal-GT” – a group of subcompact cars that looked like muscle cars but didn’t have muscle car power
• This Cobra has been sitting in a barn, undriven for 26 years
• The engine in this Mustang has seized and needs to be replaced
• The King Cobra was only a performance trim and used the exact same 302 cu-in V8 as the regular Mustang II
• Owner Dalton has a crashed Mustang II and swaps the motor over but keeps the Cobra transmission
• This build is on a tight budget, and while Dalton buys plenty of replacement parts, he does cut corners and uses some unusual methods to get the car running
• The King Cobra does manage to run and drive, but some issues persist, like oil, fuel, and coolant leaks

As mentioned, the King Cobra wasn’t exactly a high-performance vehicle. The anemic Mustang was only available with Ford’s 302 cu-in V8, producing a measly 139 hp and 250 lb-ft of torque, with performance mainly hampered by the single small exhaust and restrictive two-barrel carburetor.

The King Cobra was the last of the second generation Mustangs, and the amazing pony is surprisingly affordable today.

Before getting to the engine, though, Dalton has a thorough look over the car. As with most long-sitting barn finds, this Cobra is caked in dust inside and out. Sadly, this Mustang has also been host to a few rodent residents over the years, and the previous owner bombarded the interior with all types of rat poison – making it something of a biohazard. Dalton picked up this King Cobra, hoping it would run and drive with just a little TLC, but things aren’t looking good so far.

Dalton manages to tow the Cobra out of the barn to look at the engine and finds that the car had previously caught on fire in the passenger-side inner fender. The rear wheels are also locked up, making Dalton suspect the engine might have seized. After several failed attempts to get the car rolling, Dalton loads the Mustang onto a trailer and takes it back to his garage.

The King Cobra’s Engine Is Toast And Needs Replacing

1978 Ford Mustang II King Cobra Specifications

(figures courtesy of automobile-catalog/Pole Barn Garage)

Dalton begins properly inspecting the Cobra and soon discovers that the engine has no oil. Initially, Dalton suspects the problem might be a spun bearing; however, as he digs deeper, he discovers deep scoring in the cylinders, and one of the pistons has jammed in the cylinder head due to rust. In an attempt to unseize the motor, Dalton mixes up some acetone, naphtha, transmission fluid, and diesel and pours it into the engine. He also fills the crankcase with diesel and leaves it overnight.

Returning the next morning, Dalton removes the radiator and serpentine belt and uses a homemade ratcheting tool on the crank end bolt to try and get the engine to turn. Unfortunately, the motor won’t budge, and Dalton admits defeat, saying he needs to find a replacement. Fortunately, Dalton has another Ford Mustang II with the same 302 cu-in V8 sitting outside. This Mustang is a cut-and-shut vehicle with severe crash damage on the driver-side front axle, and as it’s beyond repair, Dalton has no problem using it as a donor car.

This King Cobra Project Is On A Tight Budget

The first job is to remove the original engine and transmission from the Cobra, a process that goes relatively smoothly. Dalton then pulls the other 302 V8 from the donor Mustang II, with the plan to mount the transmission from the Cobra onto the donor car’s motor. After removing both engines, Dalton sprays and power washes both motors down before looking at the inside of both engines.

Worryingly, the donor 302 has a lot of oil residue and chunks of metal on the top of the engine and under the valve covers. The timing cover and intake cover also have a lot of pitting due to age. Dalton says ideally he would replace both, but this project is on a budget.

After already spending money on replacement brakes and lines, a new water pump, fuel pump, starter motor, and upgraded stage 1 clutch to replace the tired original, Dalton is compromising by using a large amount of silicone on the replacement gaskets to fill in the gaps.

Lance from the YouTube channel FoxbodyFX is in Colorado checking out arguably one of the finest collections of Ford Mustangs in the country.

Dalton Makes Progress On Mustang II King Cobra

• After fitting all the replacement parts, Dalton cleans up the engine bay and gives it a rattle can respray before giving the interior a thorough, deep clean.
• Due to the previous fire and rodent infestation, the Cobra’s wiring loom is pretty shot, so Dalton takes the donor Mustang’s loom and splices in some wires for the A/C and some of the Cobra’s ancillary parts.
• With the loom in the car and the Cobra transmission bolted onto the replacement engine, the next step is to install the motor back into the chassis.

The King Cobra Lives, But It’s A Rough Runner

The engine goes in with minimal difficulty, and Dalton refits all the accessories and ancillaries. He then attempts to crank over the engine, and while the starter solenoid gets stuck on, the motor does crank. The Mustang then gets topped up with fuel and fluids, and with a little help from some spray fuel in the carburetor, the engine finally kicks into life.

There are leaks here and there, but overall, Dalton is happy and takes it for a quick test drive up and down his driveway. While it isn’t running great, Dalton adjusts the timing and fixes the crack in the surge tank to stop the fuel leaking before taking it for a proper drive on the road.

Dalton and his wife Jessie, who has also been helping fix the Cobra, take the car out for a shakedown and find the Cobra is initially running pretty well. It doesn’t handle too badly, and the engine produces about as much power as a Mustang II can. It’s not all good news, though, as Dalton notices a noise from the engine lifters and has to pull into a gas station.