when you looked at the compression gauge, did it spike and then recede? if it was a headgasket... it was a MAJOR failure which would have left an oily mess everywhere or you'd have coolant somewhere. point is, you have 350cc's of air/fuel going somewhere... and you would notice that me thinks...
my vote is a rod failure actually
if the failure was low enough on the ros it's self then it wouldn't be pawing at the cylinder wall and causing issues, but the piston would be sitting still inside the cylinder which is where you get a 0 compression from. that's just the impression i get from the situation, but i don't know without looking i guess
doesn't broken connecting rods tend to be at the upper part of the rod? i saw that in many pics and almost always the broken part is at the top and the rest of the rod hits the block... anyways this seems pretty logical for the Zero compressin you are getting as i thing a broken gasket will leak pressure so the pressure on the gauge will be on and off on the scale if you know what i mean.
you can remove the spark plug off cyl. #2 and pour some water in it and crank the engine with the coil pack's socket off... if water sputters all over the place from the spar plug port then the piston is moving and the connecting rod is OK... if not then the piston is standing still and the connecting rod is busted.
one of the failure points on any boosted engine is the rod bolts . if the bolts failed, the rod could have slipped off the crank. it wouldn't be in the way or anything, just not moving
. if the bolts failed, the rod could have slipped off the crank. it wouldn't be in the way or anything, just not moving 