First of all I would like to say this site is amazing and full of great info! I have been searching this site when I come to a problem and usually can find an answer; however, I am now stumped and need some help. My vehicle is a:

1991 Chevrolet C1500
5.7 TBI V8

I replaced the original motor in the truck with a reman Jasper engine after the original bit the dust. I did the work by myself and it was the first engine swap I have ever done. I did have a little help from an experienced friend.

After the install the motor ran good for about 1k miles. At first I did have a bit of hesitation when easing into the gas from a stop. I disconnected the EGR valve and the problem went away. I drove the truck for about 400 miles with the hose unhooked and plugged.

About one month ago I was traveling down the highway and as I approached a hill, the engine hesitated badly. I let off of the gas and when I eased back into it, the engine died. The engine has not started since.
It will crank all day but will not start.

I have pulled one plug (cylinder 3) and checked for spark, which looked good and blue to me. I inspected the plug while it was out and it was wet from gasoline. I also removed the air filter cover and watched the spray from the injectors while it was being cranked. The spray was in a cone pattern but not real fine, with some drips. I also noticed gas puddling on top of the throttle body plates (?). I have not tested fuel pressure as of yet but plan on it as soon as I can get a gauge and figure out how to hook it up (no test fitting). I can hear the fuel pump kick on when the key is turned. It is loud and runs for a few seconds. I have also checked the ground wires in the engine compartment. The grounds from the wiring harness to the thermostat housing and from the back of the block to the firewall were good. The ground strap from the frame to the firewall was burnt from the header. I removed the strap and replaced it with a thick scrap piece of wire. I have checked all of the fuses but not sure how to check the relay. I would expect the relay is fine since the injectors are working but I am not sure.

Here are the new parts that I remember from the engine swap:

-Oil Pressure Sending Unit (under dizzy)
-Thermostat
-Coolant Temp Switch
-Knock Sensor
-ESC Module
-Plugs
-Wires
-Cap
-O2 Sensor

I did notice an extra wire that looks like it's for an additional O2 sensor on the passenger side of the engine, near the firewall. According to my Haynes Manual, my truck should only have one O2 sensor. The truck does not have a cat converter and has not since I bought it. The new O2 sensor was installed on the left (drivers) header, at the collector. Not sure what that wire is for and have made sure it is not the wire to set the timing. It is hooked up.

I apologize if this post is too long. I just wanted to give as much detail as possible. I really do appreciate any and all help.

-Jeremy