Here I go again...
Need to know some things - Although both engines appear very similar, there are some differences. Did you use JUST the 670x engine? Or the engine along with it's ignition system, airbox, complete DPM system and carbs? Or did you install it with the stock 670 ignition, carbs, HAC, and airbox? It makes a difference.
If you used ALL of the 670x peripherals, it sounds to me like you may have DPM issues. Either the system is damaged/shot, or improperly hooked up...either wiring or vacuum hoses not hooked up/hooked up wrong. To delete the DPM, you need to change all the ignition parts with the std 670 ignition.
If you used the stock 670 stuff with the X engine, did you mix and match parts? That would be a no-no. Exactly which parts from which engine did you use?
What I would do, is install the std 670 stator, p/u coil and flywheel, and use the std 670 CDI module and coil assy. Then install the std 40mm carbs, deleting the std 670 HAC. When the HAC system goes bad (the internal diaphram is known to leak), the system goes full rich, and will generally turn the sled into a slug and foul plugs. After deleting the HAC, you can re-jet your carbs accordingly, dropping jetting to suit your altitude. I run 290/310's with 45 pilots at sea-level. For a performance gain, if you have the parts, you could run the X exhaust pipe, and 44mm carbs. Again, you would have to jet accordingly.
Somewhere in the S-chassis section I detailed out for somebody the steps to deleting the HAC. Shouldn't be hard to find.
As for the compression...... Live with it! Although, is it possible that a previous owner has shaved the head? That could contribute to it being harder to pull over.
Also, when messing with the carbs, be aware of which jets go in which carbs. It is easy to accidentally put the wrong jets in the wrong carb, or to switch the carbs side-for-side, which would cause one cylinder to run rich, and the other to run lean. That could cause it to do some really funky things with how the engine runs. On Rotax rotary-valve motors, the PTO side is the rich side.
If you have any questions, I will check back on this thread, or you can PM me.