Glad to hear you are getting back into it! Sounds like you've got a good start on it already.
One of the things i've been preaching to the 2LTE crowd is to convert to Evans Waterless Coolant. I use it, and highly recommend it. It will keep more even temperatures in your cylinder head and help a great deal to prevent the head from cracking. It's a relatively small investment, but makes such a big difference. It also doesn't boil until 375F. No more overheating issues.
Did you keep your old motor for spare parts?
A few comments on your 'to do' list:
1)Fix steering (currently drivable but steering is hard when turning right at crawling speed, also noise from steering pump pully i think)
Are you using the Prado or Surf power steering pump? Don't know if they are different, just a thought... Did you use Dexron III when you filled it back up after the engine swap? Does it need a flush? There is a procedure here on mud (maybe in the 60 series section...I'd have to look again) on how to flush, but basically it can all be done at the reservoir by removing a hose and putting it in a bucket. Add clean fluid to the reservoir and the old fluid will pump into the bucket with the engine running. Keep doing this until it comes out clean. I did this recently and it worked out well. My old fluid was brown, new is red now.
This is a great mod. While you do it, remove the VSV's and emissions throttle plate at the same time. You might also consider removing the main throttle plate. It gives a lot more low end torque among other advantages. Really cleans up the engine bay too.
4) Delete AC components and AC radiator
This really helps airflow to the rad, and is a great idea if you don't need A/C. It also makes a lot of room for a nice sized front mount intercooler. I like this one that pradocruzer did:
How to Install a Intercooler on a '91 Prado EX5 (2L-TE)?
5) Delete existing air filter/intake and replace with conical High fliw filter
If you plan on running dusty roads, keep the factory air system. It creates a vortex in there and the dirt ends up in the lid. Works very well. If you want more airflow, there is a K&N filter that will fit in the factory box and definitely flows better (I have one). Still a good idea to swap a paper on in if you plan on lots of dusty roads though.
6) Clean out sludge in air intake
I had a problem with that too. It's from the EGR and PCV mixing. You will find it is probably on the intake ports to the head and on the backs of the valves too. Try to clean it all out if you can. It's hard, but worth it.
Whats wrong with it? If it looks oily inside on the compressor side, it's probably just PCV gunk in there? If there is oil out the turbine side, then it probably does need new seals. How is the in/out side/side play? There should be almost no in/out and just a bit of side/side.
9) rebuild fuel pump? (It sometimes leaks fuel, 1 drip per 10 seconds, but then stops, behavior is intermittent
This seems to happen to all the JDM rotary injection pumps around this age. It likely does not need a full rebuild, but just needs new seals. I bought a seal kit from
ebay uk and did this job myself to save money. Worked well with no more leaks. A fairly big job though. Most of the labor is just getting the pump off and back on again.
10) Intercooler to cool turbo air.
Intercoolers make such a huge difference to these motors! A great improvement. Lowers the EGT's by a huge amount, allows you to make a lot more power by turning up the boost and fuel (safely).
It's worth the effort! These trucks are pretty bullet proof besides the factory engine setup. Improve the factory engine (as you intend ^^) and you'll have a great truck! I look forward to seeing how it all works out for you. Click 'Build' in my signature to see a list of some of the stuff I've done to mine. A little over the top, but it runs great.