Is it time for a new turbo?

I have less than a 1 to 2 mm of play side to side. No play in and out.

New noise sounds like a bad belt tentisioner. This happens when developing boost or decreasing boost. The sound is coming from where the turbo is located. It is building boost and running fine. It feels like the boost is coming on slower than normal but that could be in my mind.

Not just the grid heater gaskets, it could be the intake cover gasket itself as well.

I'm excited this is sending me in the right direction. So I just want to confirm.... The motor should not have any leaks when off and I pressurize the intake side of the turbo. I heard some hissing that's why I used the can of chili because I figured that the hissing was from some valves being open. 

So that hissing is an air leak. I did think that the valves on a cylinder should never have intake and exhaust open at the same time. I figured it might be some funky diesel thing. 

You will hear some hissing as it seeps by the rings and such, but that's normal. 

Get yourself a spray bottle with soap and water and start spraying all over while it's pressurized. That's the easiest way to find leaks!

May want to pop the down pipe off the turbo and inspect the exhaust side of the turbo as well as long as you are looking at things.

What should I be looking for on the exhaust side?

See if it's spitting oil out the back side of the turbo. 

Wheel to housing contact or damage and oil as stated above.

Look for black soot around exhaust manifold.  Maybe exhaust leak!!! Happen to me and make weird noise!!! good luck

Fixed... Found a good sized leak on the boot that connects at the motor intake. The sound I think is coming from belt tensioner. At higher rpm 2k or more the belt shakes like mad at the tensioner.

Fixed... Found a good sized leak on the boot that connects at the motor intake. The sound I think is coming from belt tensioner. At higher rpm 2k or more the belt shakes like mad at the tensioner.

Well hopefully that fixes it. I've chased noises for some time. I've got a few I'm still chasing to this day.

Keep this updated!

A little helpful info. You can measure the shaft play and compare the data on here. 

 

http://www.myholsetturbo.com/manuals/HX_Service_Data_Sheet.pdf