Hey Kuppler. Remember earlier today when we were messin with our engines (at WORK lol) and you noticed that my engine (brand new) had a LOT more compression than yours did?.... Well....I found this post in the Forum Troubleshooting section that said the following...
Got pinch?
Before we start troubleshooting, let's first make sure the piston and sleeve aren't toast. Remove the engine's glow plug, and rotate the flywheel with your finger. As the piston reaches top dead center, you should at least feel resistance as the piston is “pinched” by the sleeve. This tight fit seals the combustion chamber and is critical to engine performance. If you don't feel any pinch, you probably need to replace your piston and sleeve.

Your engine had almost ZERO pinch. Mebbe its TOAST?