Then I reversed the chuck with the pin gripped & saw the same 0.010" runout. So my conclusion right now is the chuck seat has the correct taper but is out. I tried the same reorientation & the high is always in the same clock position. It says Jacobs but... Dai we need to discuss options. I couldn't tell the taper 33 maybe? It would be nice if we had a known good chuck to just plop on. I've had this myself buying a brand name dud, it happens. Idont want to say this with 100% certainty but seems to be pointing to this. The good news is the spindle is in great shape as far as I can tell.
My goodness Peter, you have done so much, and the time you have taken to documenting this project is fantastic. Thank you so much!
As for the (bad) chuck, That chuck is a new old stock which was spec for the drill originally. Is there a way to fix that 0.010" runout? Or, perhaps we should find a more modern chuck that have the same mounting feature. I'm not married to that chuck at all. I don't know what option is out there for me. Perhaps someone on here may have some ideas to contribute.
As for the bearings mounting issue, if loctite is the best solution at the end of the day, then we will do just that. I want to reserve that method to last resort because if I have to disassemble the drill again later, the loctite method maybe difficult to remove the bearings.
Thanks again Peter for your efforts so far in this project!