Whoa there now, let's not go crazy with all these thoughts of rebuilding. Leaking oil and poor performance (and even having 191k miles) do NOT necessarily mean a rebuild is needed, and a rebuild will NOT automatically give you a great running engine. "New engine" never automatically equals "reliable". My dad's brand new car left him stranded at work about a month after he got it because of a simple faulty sensor.
All sort of problems can cause the performance to fall off; clogged cat, failing trans (clutch or clutches depending on what type of tranny), poor spark, lack of fuel, a bad sensor, etc. There are TON of them that have *nothing* to do with the condition of the block. And if the actual problem isn't addressed, then that brand spanking new engine will suck just as bad and you'll be out a LOT of money in the process.
And I would never wait until an engine truly "dies" to get it rebuilt. In my experience, when an block ceases to turn, it generally means something VERY-VERY BAD just happened and that could greatly increase the rebuilding costs or completely negate using that block altogether.
I would start with getting a good shop manual ('89 Jeep factory manual preferably) and a multimeter and hit one item at a time to see if the parameters are within spec. A compression test is another good place to begin. And fix that rear main seal too. It's easy enough that you shouldn't wait because you "might" be removing the engine at a future date.
Rebuilding an engine can easily become a HUGE and EXPENSIVE pain in the butt (it's a 10 on my scale, I mean, how many of the normal repair tasks could be higher?), and more so if the problem all along was something stupid like a clogged cat. At the very least, invest in a junkyard block to work on so that the truck isn't stuck dissassembled and stationary if the project becomes overwhelming or you get distracted (life has a way of changing our priorities in a hurry).
Jeep on!
--Pete
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