I've had the K04 on since the end of the summer (though with a month period of downtime) and it still surprises me on occasion. The power above 4K in 2nd and 3rd is definitely nice (first is nice too, but feels short), and 4th is a great passing gear on the highway.
A lot of people have talked about the good things with the K04 so I'll focus a bit on my experience which hasn't been ideal...though as far as anybody has said to me the K04 isn't the issue. The good news first, the car runs great at the moment, it's ridiculously fun to drive, and still very smooth when I want it to be. As far as I'm concerned this is around the ideal power level for a daily driver, if you have a car you take to the track a lot or it's a weekend cruiser I could see how you'd want more...but you'll have no trouble blasting around the backroads with the K04.
Alright, the bad...well the hesitation is still there on occasion. A properly sized intercooler helped with the problem, but it still shows up now and then. The occasional clutch stutter has been happening more frequently so that'll need replacing sometime in the next 5K - 10K miles. Some of you may have seen my post a few months ago about engine issues (I'll update that soon)...well I ended up with a new engine. To make a long story short, cylinder 1 was not exactly a cylinder... it was slightly out of round as seen here:
-- it's not very obvious that this is the case in the picture, but there's no doubt when looking in person (also, the missing part of the piston that went and bent some valves...). The side of the cylinder was smooth with no obvious wear markings so my opinion is this was a lifelong issue with the engine that got exacerbated by the extra power with the K04. My experience with the car seems to back this up too, the engine always made an odd noise (stock, stage 1, more so with K04), though logging didn't show any obvious issues; no detonation / misfires / other problems. The car also seemed to be down on torque pre-boost, e.g. coming off from a stop sign in 2nd at low rpm; the same can't be said for the new engine, it feels as strong as a 2.0T pushing a 4,000LB car can feel.
The point of the above isn't to talk you out of the K04, there's no way I'd go back to a stock or stage 1/2 car now, it's way too much fun and so far it's been worth the trouble; just make sure you check things over on your car and fix up any weak links before you go forward with the new power. That said, you've been stage 2 with E85, so you've been stressing the engine with that big torque spike, anything wrong with it would have probably shown itself by now.
I'd say go K04 now and let the EFR be...there are much better platforms for that kind of power.
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