Well just to let you all know, I did a compression test last night and got 11 bar on all four (160 psi) so was quite happy with that. It seems cylinder 2 was the oily one and like some of you have said it appears to be stem seals.
I will need to modify and old spark plug and use the airline trick to be able to change these stem seals in situe, not looking forward to it to be honest.
Oh and I dropped a soldering iron tip into the engine by accident and spent 5 hours trying to get it out!!! got it in the end.....lesson learnt, keep the plug holes covered when you remove spark plugs