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Biggest problem: The standard D-300 is a passenger side drop T-case. To fit in an XJ, you need what is called a flip kit. It installs the T-case upside down, converting it to drivers side drop. The other option would be to get a passenger side drop front axle. I've read there was a driver side drop -300 made, but I don't know what it was put in.
STaK makes the driver drop D300 case. Opie runs it with great success. It doesn't pop out of gear like the three speed case. Opie also got a deal on it, used.
I ran my 300 flipped for a couple years, with a "cheap and easy" flip kit from d&d machine. Just put two oil seals on the shifter rails. You could also use this approach if you were to make some cable shifts. Biggest problem with the "cheap" flip kit is the throw is really long on the shifters.
You will also have to oblong 1 or 2 of the holes in the tranny output housing for the dana 300 to "bolt up" for drivers drop.
I wish atlas!!! So any D300? flip kit,twin stick shifters,driveshafts,drill holes for mount,somethin about 2 seals?,& any 23 spline output shaft...do I need adapters for types of trans ax15 aw4 & is the later model manual any count nv35?? bolt in any 4.0