Recenly picked up a project car, 87 Iroc-Z, and have been slowly working on it. got it after sitting for a few years, due to a no-start problem. got that sorted, and started changing fluids, as well as other basic maintenance.
Got to the rear end, and started a fluid change there.
found two surprises:
1) mini-spool
2) it looks like this:


yes, the magnet was COVERED in shavings. looks like silver grease...

so, it looks like I am going diff shopping.
found a guy selling a rear from an '02 SS, anyone know anything about them? What would it take to swap it with my current one?

 

That's a wise move removing that mini spool. Toss that in the trash when you get it out. The SS should have a Torsen differential in it, which is a good choice. It will be a little wider than what you have, but shouldn't be a big deal.