Wolfala,
I don't overhaul engines. We do airframes, systems, and maintenance (change cylinders and accessories) but we never overhaul the engines. Just way to specialized for us.
That said, if this guy obviously ran the CHT's that high, I would be interested to see what else he did to the aircraft. (IE. G's and aerobatics) From the info that I see, it is a good guess that cylinder #3 is more than likely toast. As Casca mentioned, it is possible that the rings just aren't seating, but like he said, rock the prop and they should seat. Or again as Casca said, go fly it for 45 minutes, and do the cylinder pressure checks again
If it was me, I'd get that latest sample off to Blackstone. They are going to be able to obviously see a spike in metal deposits in the oil, and more than likely will have some questions regarding the usage. It may be best to add some notes with the oil informing them of the situation.
Sorry I can not be of more help, but good luck, and nail this guy down.