andrew, the compressor gets into the frame about 20mm or so,,, this is with clearance for the GR starter, so you'll be into it more if you do go with that cough crap cough non GR starter

. so yeah raising it will work, i have been thinking of a mount to hold the alt and a/c in one and raise them both, plenty of room to go up.
IROC, the comp is a nippondenso radial, just like a harison, delco ect. my SOA is low also, i put the engine in the frame so the oilpan gasket is about level with the top of the frame, and its still a good 3" below the hood.
if that bump is capacity then by all means chop it off if you need clearance!!! the pan holds 7 or 9 qts, thats plenty of oil for an engine that doesnt run real hot and has an internal oil cooler.
also my engine isnt offset per say, the starter and oil filters are centered in the frame which sets the engine to favor the P side a little. most straight engines favored one side or the other, no biggie