The magnum will be fine I am sure , Why not throw a better cam into it , change the intake & run it. You may be happy with the power as is & it will get you through until you cn build the 340, if not you can pull the heads over the winter .
I am not sure how much gain is available in working the heads , , the magnums do work well stock often larger valves do not make a huge gain with swirl port heads so cutting for larger valves in brand new heads may not be worth the expense , you could deck the heads for a bit more compression but you would have the have either the intake side of the head cut to match or narrow the intake , I would cut the head so any intake will fit & then your intake is not junk if you decided to sell it later on , I would also check what pistons were used the compression may be higher than you think .
1] I am not sure what aftermarket heads are available for the Magnum & if there is significant gain , often Eddy heads are a sideways move , lighter being alum but you lose more heat to alum & the real performance gains are often minimal at best .
2] No clue , I did all my own heads & had some of my own ideas which proved to work well , I hear good things about Dwayne Porter
3] The Eddy RPM works well , I have no info on the Pro Products one but I assume it is similar although looks can be deceiving ! I love the M1 intakes as well but it is a different intake , the RPM works better low to mid range being a tall dual plane the M1 works better mid to upper range so I would choose based on matching the power band of the cam , torque converter stall etc .
4] using an alum head I would use Cometic MLS gasket only , with Iron heads a thin steel shim is a good option , I believe the magnum while using a ball stud system like the GM does not have adjustability like the GM so any changes to deck thickness or gasket thickness could cause the adjustability of the hyd roller lifter to go out of range or too close to one end of the adjustment so new pushrods may be needed .
My experience with Indy has been decent , decent products & service but the customer service has been bad , Hughes is about the same Decent stuff but the customer service sucks & if you can buy similar or better stuff elsewhere why deal with jerks !! Long story but Hughes has some unique cams but offers no warranty so if the cam fails you are on your own , Engle used to Grand all of Hughes cams so I went to the source & bought direct from Engle , they do or did offer warranty & were great to deal with , Lunati also has some very unique Mopar designed cams & is great to deal with.