Actually, it's in the correct hose (mostly), but the hoses have been re-routed to the extreme. Notice how both hoses now run along the fender and the top hose (with the valve in it) does run to the top of the manifold. The bottom hose runs to the pump.
So that does mean that the hose that usually might be on the inner fitting, is now on the outer. Don't know if that would have any negative effect though.
Paul
Top hose does indeed run to the intake (water out to heater)
I can see the heater control valve on the inner fender as well. But I don't see any hose clamps at that location. So the valve must be installed in the lower hose on the inner fender. That is the one that sucks water into the water pump.
I did see the headers, did forget to mention them. Trying to figure out what brand they were. Still don't know.
Bad guess on the distributor. I should have kept with the hunch that the lack of a red cap wasn't Mallary, but that 3-wire connector convinced me of otherwise. Still recoganized it as aftermarket.
As for what to do, wiring.
That looks like a rats nest of problems waiting to happen.
That is my suggestion anyway.
If it runs warm next spring, add a fan shroud.