I would avoid the LT1 and either go with a TBI 350 or make the jump to the LS based vortec motor.
Since you already have a SBC sitting in there, the TBI would be the easiest option (pretty much drop in and wire up). It's true that they need far less fuel pressure to operate, but that's also the rate limiting factor in generating HP. Stock, the TBI 350 is 210hp and 300 ft/lbs of torque. It doesn't sound all that great but it gets the job done and is bomb proof reliable and easy to cool. If it's not enough power, get a set of 94 and later vortec iron heads and bolt them on. That usually nets about 40 hp over stock. I would not jack with the cam. The TBIs are speed density EFI and don't take kindly to hot rod cams unless you are REALLY good with tuning. At that point, the projection is the way to go.
1994 FZJ80. Elocked, MAF 3/2 Lift, BFG 315 KM2s, stock 4.10s, ARB bullbar and a Warn 8074 winch.
powered by an all-aluminum 335hp L33 Vortec V8
2004 Kona Stinky dee-lux.