Well if it is indeed pieces of piston and ring in your sump, then I hate to say I told you so Your engine will have suffered some severe cylinder pressures i.e. extensive detonation, over the last 2-3 months since you fitted Dan's chip.

Tuning, and specifically mapping at this level (indeed any level) is very precise when done professionally. It's all too easy to kill an engine very quickly if done incorrectly, and that includes plugging a chip in that is not designed for your car. The old adage of "check the fueling" is simply not sufficient beyond a simple generic chip and setup. Mapping is the final piece of the jigsaw, but quite simply the most important piece. What's good for the goose really isn't good for the gander. You could have a banana wedged up your exhaust and it wouldn't matter, power and safety are not mutually exclusive, finding the limit is.

i was informed by the lpg guy that this kit can handal applications upto 350bhp and if higher then it whould be a case of upgrading something

it was nothing to do with being modified, it was to do with the lack of oil

I would be very concerned about running that chip, it's by no means a plug and play option.

If you were going to get on a plane and the BA CEO came and told you I wouldn't get on this, its going blow up, what would you do!!