To gain that much water in the base, there's a cracked head / head gasket / cracked cylinder I would think. After the cam & lifter damage there's a bunch of fine metal floating (or floated through) the engine interior. It surely made it into the cam, main and rod bearings and is probably causing wear to those parts every time it runs. I'd agree with the others, time to disassemble it, clean everything and have the block and heads tested for cracks.