Except perhaps for the high miles, I see nothing in your post that convinces me the head needs to be rebuilt. Your oil useage may be somewhere else (piston rings, drippage). Usually the valve guides need replacing when you get a puff of smoke upon taking off from a stop. Is this a symptom you're having? What is your oil consumption rate? I'd hate to see you take on a job that may be too early to tackle.

__________________
95 E320 Cabriolet, 159K