Jim said, and he would know ...... he's the best researcher I've ever encountered. OK, 260 at the prop shaft is probably a little optomistic ..... look at a better intake, carb, and a set of roller rockers, MSD ignition, and you can probably pick up another 30 - 40 real horsepower. That should put you in at a solid 300, and get you in a pretty nice little setup.
JMO