1991 LC cracked head, possible diesel swap

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I've come across a 1991 LC with 120K on it and in great shape except fort the motor. The previous owner said it had a cracked head and I've done a few cummins swaps and I'm thinking about putting a 4 cylinder cummins in it. I've heard that the motor that was in it never got good gas mileage. Is there a better gas motor that I could put into and be able to use the motor and trans that's in it? I also think this LC is all wheel drive. Is there a way to convert the transfer case to optional 4wd? Does anybody know if I can put a 4bt cummins in this and use the factory trans / transfer case. Open to suggestions. I need to get the gas mileage up. We drive alot. Thanks
 
Is there a better toyota diesel that would bolt up better that the cummins?
 

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