HomemadeTurbo - DIY Turbo Forum - Compression check done on my boosted motor!

Car: 99 stock si 50K miles
T3 turbo 9psi, intercooled, VAFC (-37 across the board), fuel pressure at 40psi idle, DSM 450cc injectors

ok, about 3 or 4 weeks ago at the track I was racing, and the car kinda shutoff at 7K RPMs after my second run. Hmm.... so i took it home and examined the plugs. All were good except plug number 2. It was loose! Well I replaced the set and called it good. Problem solved, no smoking, all is A O K.

Fast forward 2 weeks. Ok so I richened up the fuel with my VAFC because I believe I was leanin out at the track. Later, I painted my valve cover and realized that I forgot a spark plug tube seal and car was blowing out blue smoke Cylinder 1 spark plug hole full of oil. So I fixed that problem, and while I was at it, I did a compression check 210-200-170-200. Cylinder 2, the same cylinder that had the loose plug appears to have lost compression. (Yes, throttle plate was open when I did the test). I put in some oil in the cylinder and did the check again and compression shot up to over 300 psi. I assume the rings in that Cylinder are starting to poop out. Car is blowing smoke. After driving a while, and if i pull into a gas station, turn car off, gas, and start it back up, a bunch of smoke comes out

I am gonna go balls out and replace the rings, but I was just thinking, I have not adjusted my valves on this motor yet. Could out of spec valves possibly help MY situation? Or because compression shot up with that oil its obviously the rings?