88 Tercel Problem, Any Help?

I recently purchased a 88 Tercel with a 1.5ltr SOHC (1500) and 147k Miles 5spd

When i purchased it, the head was blown and the guy re-did the head gaskets and machined the head flat. After that it drove for a month than sat for a full year while he was using his truck to and from work.

Well I got the car, got rid of the rusted antifreeze, half tank of old gas and the year old oil. Replaced the Oil/Air/Fuel Filter and Oil, along with new Antifreeze and PCV Valve. I also added in some Engine Restore, and Fuel Treatment.

It is smoking whitish grey smoke ( i know for a fact its not black or blue because my mechanic friend even looked at it and said it was white with some grey). It does it when its cold and warm, but not while its driving only when its being revv'd really hard. At least thats what ive seen.

Here's the weird problem though, it does not overheat, it does not lose antifreeze. Its been driven almost 90 miles since I got the car and the fluid levels are the same since the change and the thermostat is working correctly showing it stays at operating temp the whole time its running and does not overheat.

So can anyone give me a recommendation. Could it be all that condensation from the year of sitting in the tall grassy field? I need to go get it emissions tested but im afraid it wont pass with all that smoke. That and I need to get the idle and timing checked.

Other than that it runs fine and smooth with no hesitations or idle problems.

EDIT*

I thought I would add in some more info.

When starting the car, there's no bubbles coming out of the radiator with the cap off. There is no water in the oil at all either. There is no leaks at all around any of the hose's or water pump.

I'd suggest a compression check, but depending on the kind of fuel or oil treatment you used, some of them do cause some whitish smoke (Seafoam in particular) as it is working. Eventually, it goes away.

Another question...does the smoky exhaust smell like burning coolant? It would have the same sweet smell if so. That would indicate a slight head gasket leak (the compression check might show this as well)

Some states have visible smoke emissions tests, some don't and just rely on the NOx and HC tests. If they show you the specific results, it can help diagnose what your car is burning at high revs to cause the smoke.

not sure on the smell. But all i did was use some Heat gas treatment, and RESTORE for 4cyl engines.

Could be condensation. If the tank were kept half full, quite a bit could have formed in a year's time, especially if the gas wasn't treated with stabilizer. The Heet would reabsorb the water into the fuel and if there's alot, it could make white smoke. But if it were truly entrained water vapor, the smoke shouldn't linger for long...it should dissipate quickly.

Personally, I'd at least pull the plugs to see if any were fouled or wetted to rule out a leak.

Is your muffler full of water?