If you have the money to build a new engine then all the power to you
You can 100% drive the car when you fix the HG and its a pretty simple process
Now is also the time to switch to ARP headstuds and possibly a cometic gasket
From personal experience running that kind of boost requires a frequent re torquing of the head studs


1991 TSi AWD A/T IPT and High Stalled!
1995 TSi AWD 5-m/t R.I.P