Fred.....Lauren.....the MO2 runs really well for me with Pennzoil Marine Synthetic Blend from the sporting goods section at Wal-Mart for 9.96 a gallon. That is great oil! Mix it at 40:1.
The tranny oil recommended is 20 or 30 weight Non-Detergent motor oil. Takes 15 oz. to fill it after completely draining both drain plugs.
Take care to never squeeze the starter clutch lever when running the engine. It is ONLY to start the engine.
Anything I can help you with,just ask. don-ohio (:^)
PS.: If you want a little more boost, Chris MWH has 60cc Polini kits for that engine and they are great!