Looks like heat spots to me.  They likely won't tear into the friction plate, they will likely become really smooth and slick, the more you use your clutch.
If you are going to sand the flywheel, I would use something rougher than 600 grit.  100 grit probably won't hurt anything.  I assume you are doing that, to try to get the "rings" off the surface that the brake lathe left?

So that's what I was thinking.  They feel really smooth and slick compared to the rest of the metal.  I figured it wouldn't "hurt" the clutch disc, but I had best check to see a second opinion. 
And yes, I want to swirl the flywheel to give a non-directional surface (instead of the rings) and the 600 didn't work, in fact, all the grit came off the paper right away...either cheap paper or too aggressive a surface.  Gonna use a real dual-action sander tomorrow and try 220...

For future reference, and for anyone else reading.....if you ever have a flywheel resurfaced, try to find a place that "grinds" the flywheel.  What that is is a machine that had abrasive pads on it that grinds the flywheel to resurface it.  It moves in a small circular motion and therefore doesn't groove the flywheel, like a brake lathe will.  It leaves a nice "swirly" surface on the flywheel and is better than having a flywheel turned on a brake lathe.

I was going to search around more for this, but the employee I know did it for free, instead of the usual fee.  I had read on this forum about that beforehand but didn't bother asking him about it until I brought it in.  They also couldn't get the dowel pins out so that's why he could only turn it out so far.  It's just big enough to accommodate the larger 8.5" clutch, about 1/4" bigger diameter on the resurfacing than the disc. 

They also couldn't get the dowel pins out so that's why he could only turn it out so far.  It's just big enough to accommodate the larger 8.5" clutch, about 1/4" bigger diameter on the resurfacing than the disc. 

I didn't catch that when I looked at the pics the first time.  You may have issues with the whole flywheel not being turned.  The reason is, the pressure plate will sit a little farther away from the flywheel surface and therefore the "gap" between the pressure plate clutch surface and the flywheel clutch surface will be larger.  So what that will do is make it so the pressure plate may not be able to put as much pressure on the fiber plate as it normally would (which may cause the clutch to slip).  But it may also be fine.  If there will be any issues, I would guess you probably won't know about them until the fiber plate wears down (gets thinner) and then the pressure plate won't be able to press hard enough on the fiber plate to keep the clutch from slipping.
I have had to heat the flywheel with a torch before, to get the dowel pins out.

The surfacing was turned to a large enough diameter so the disc will be pressing against all one uniform surface, there are no "steps" within the area that the clutch will grip against...if that's what you were referring to.
Or were you talking about the fact that the mounting surface for the pressure plate is technically a "step" above the friction surface...we considered that, but it's a matter of a few thousandths of an inch...I think the picture makes the "step" look bigger than it really is.  It's hardly noticeable, figured a few thousandths was OK

Or were you talking about the fact that the mounting surface for the pressure plate is technically a "step" above the friction surface...we considered that, but it's a matter of a few thousandths of an inch...I think the picture makes the "step" look bigger than it really is.  It's hardly noticeable, figured a few thousandths was OK

Yep, that is what I was talking about.  Like I said, you might be fine...or you might not.

Most places and people will tell you that you have to remove the front axle assembly to drop the oil pan.  I will tell you that you do NOT have to drop the front axle.  I have removed 1.6 16V oil pans without dropping the front axle (or raising the engine).  Once you get the oil pan loose, you have to spin it 180* and work it off over the oil pickup tube.

PLEASE, enlighten me  I'm not having fun trying to figure this out.  I can't rotate it because the header is on one side, and the clutch cable bracket is in the way on the other side...and it's an 8v engine, not 16v.  I'm thinking about dropping the front end unless I get a better idea from anyone on here, or if you could help me out a little, because I can't spin it much at all...definitely not enough to make it come off the pickup tube.

I said AW SCREW IT I took that bitch out of there and the oil pan came out so easily...I unbolted the 3 mounts for the front diff, disconnected the 3bolt flange and swung the driver's side half-shaft out of the way, and then kept the pass. half-shaft inserted and just swung the housing down and out of the way and had to disconnect the right end of the steering stabilizer.  It was easier than I thought, but, still, a PITA when I was half-expecting to just pull the pan off without a hassle 
I've never had one of these engines apart before...those are some damn small pistons  
but IMO the conrods actually look hefty for such a small engine.  Looks like a pretty stout lower end.

It works pretty much how I said.....take the bolts out of the oil pan, drop it down, rotate it 180* and work it off over the pickup tube.  You just have to work with it and figure out how it comes off.

These engines do throw rods sometimes....but I believe it is from abuse (lack of maintenance (oil changes and/or low oil level), or over-revving) and not a design flaw.  Although, the earlier 8Vs didn't have as many counterbalancers on the crank, and some people think that is why they would throw rods....but the later ones throw rods too, so who knows.

There's no way mine would rotate either direction.  I had the front diff on one side, and the clutch cable bracket, then on the other side the header was in the way.  In the past, have you had the exhaust manifold removed?  I can see it pivoting that direction if the header wasn't there, but it still looks like a tight fit

There's no way mine would rotate either direction.  I had the front diff on one side, and the clutch cable bracket, then on the other side the header was in the way.  In the past, have you had the exhaust manifold removed?  I can see it pivoting that direction if the header wasn't there, but it still looks like a tight fit

Nope.  I don't recall anything was disconnected or moved.  I have done it more than once that way.
Maybe I'll have to video it next time.

I'd want to see it, it would probably amaze me because last night I couldn't see any way it would come off.