The only other place I know it could come from would be HG leak in the intake valley area unless you have some sort of PCV control that is venting exhaust gases into the crankcase , I have heard some of the motors have controls that actually introduce air into the crankcase to help vent the oil vapor/gases , kinda like putting air in on on side to move it to the other for PCV to pick up and keep entire motor vented and breathing .
Problem is I have no idea of what control it is and or what vehicles it is on , its greek to me , never seen that kind of mess on a smallblock chevy .
Without any PCV hooked up you should have a minimal amount of bowby - that is perfectly normal so maybe all this is worrying over nothing , a motor with bad rings/seals/guides (one or a combination of) when idling and the PCV (stock) disconnected from Valve cover and or plugged(my case because I have no PCV Valve) should have some blowby and with the age of the motor it will increase .
If the PCV is hooked up and you have blowby then you have a serious problem somewhere hehe but if not connected and the vapor is being pushed out with a fair amount of low pressure then I would be concerned , otherwise if the motor is running and the vapor is just kinda migrating out of your oil fill cap or PCV port (with PCV disconnected) then that is perfectly normal .
Maybe this guy that looked at your motor just scared you over nothing or maybe your PCV was disconnected and he thought it was still functioning or had a second vent on the passenger side .
Many cars have PCV on each(I have heard Yotas do as well and am investigating that very possibility on my motor) cover or incorporate a second via the intake pulling vapor from the intake valley .

 

I had a good talk with a buddy of mine that builds street rods. I went over everything with him. The rings are fine. Any oil blow by is from the valve seals. And, my compression actually is better than I'd originally gathered. When I ran the test, I was running it solo. So, by the time I swung around the vehicle to read the guage after bumping the motor, the gauge had already bled off some. And, the TPS was the source of the O2 CEL and most of the poor performance. I say most because sometimes it stills stumbles a little on start up and I still feel a little hesitation on deceleration. Not nearly like it was, though. I'm still going to run some traps for the PCV and breather hoses. Keep the crap out.

So, thanks for all the input fellas. And you n4ynu.....where'd you go? Haven't seen you around much.