Apologies for a late reply. Have had some head-scratching moments with blown pistons. Here's my findings which you may find useful. I found , with the variable timing CDI that the timing curve is still peaking max advance at approx 4000rpm and retards more and more as the revs increase. WOT is not a problem, but cruising, especially with a large prop would bring the rev range down to where its running at max advance (mid-range).
Mid-throttle seizures are often overlooked and more common inmodern equipment because of this. WOT its running great, but as soon as you lower the revs, bringing it back to max advance, and you have a lean mid-range condition, detonation can occur, followed by piston destruction in short order. As mentioned earlier, check the pop-off, even though the engine does not see the pop-off past idle. The paddle height and low screw all affect the mid-range. The lower the pop-off pressure, the more sensitive the low screw is to change and easily affects the litre per hour consumption. IMO
Please let us know when you have the problem resolved. Good luck.