Get rid of the normal sensor. Splice into the existing wire and install a GM knock sensor on one of the threaded bosses on the block. Also will need to run an inline coil resistor on the wire to the sensor. This is what LCE does with there standalone kits. It worked perfect for me.
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I was doing some reading and a guy did something similar on his scout. While its totally different engines/setups I figured the principle would be the same. You said wire in a GM knock sensor, any specific engine? What rated resistor? Thanks.