Hey Guys! I convert homelights & ryobis and it sounds like to me that the carb might need a new diaphram on the pump side ( opposite the primer bulb). I could be wrong but every time I've had this kind of fuel problem thats where I start. If Im not mistaken , when you take the cap off the pump side the diaphram goes on the carb between the gasket and cap, if this is not correct the engine will starve. If you do get the engine running (pour gas in it) Vacuum from the cylinder is enough to keep it running. I know that if I go to an over size carb on these engines I put the diaphram on then the gasket & it usualy cuts the fuel down enough to keep it from flooding out & running rich. For the correct reed setting you should be able to get a 1/8 drill rod between the reed & reed stop. Hope I,ve helped.

Steve