As gunsRbad said, You're not creating enough spark @ 35 to ignite fuel / air mix. Not only are you not having proper ignition of fuel. Any unburnt fuel not fouling up the plugs, exhaust valves, is mixing with the oil. Incorrect gap can and will cause a series of other issues if not taken care of.
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A few thou off the spark gap is not a issue. But it does beg the question of weather the ignition is up to the task. Get a spark checker. A timing light is your friend too. you may have a worn timing chain causing erratic timing, That was built in the age of nylon timing gears.
.10 difference will cause an issue. Consider the normal plug gap now shortened .10 unless he's inspected them since the initial install, i would say there's potential some of the ground electrodes have been pitted / compromised. If it was a tune up - emissions test, probably not. A Full tune up should include checking the timing. BUT some folks skip or overlook it. It's electronic ignition what could go wrong .
Timing chain is easy to check.
The Great Kazoo's Feedback
"when you're happy you enjoy the melody but, when you're broken you understand the lyrics".