@10G Good news, u having success _ But appears that Dawes is assembled incorrectly as u describe.
Dawes assy:
Drop ball in large body end first, followed by the spring. Large body section goes nearest to cooler.
Wind the male threaded "smaller section" in (clockwise) to increase boost.
In 3rd gear, hauling @ 3000rpm (with needle closed) and when no limp (approx 15-16 psi) open needle valve so lever is just resting against stop screw or spool rate that suits _ do not make it laggy. May need to wind Dawes in a little if boost drops when u adjust needle valve.I can't remember the procedure for setting the boost. From memory it's something like go up a hill (or put the vehicle under load) at about 3000 rpm until you get a boost of 15-16 psi. Is that correct??
Suggest that you remove all boost hoses and wipe off any excess oil residue, clean mating parts and re clamp.
Get it working and I can then suggest an alternate arrangement that may improve drivability _ if interested.