Well I'm still at it. Tried a large paper clip, allen wrenches and a coat hanger I filed to fit the hole. I can insert them about 1/2 inch which should be enough to reach and push the spring loaded gizmo but I can't turn the metal cap even with channel locks (well except once because the metal cap originally was not lined up correctly and I heard it snap in when I turned it). I tried moving the key slightly but still no go.
Position '1' is just turning the key one position, right?

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1985 300D Turbo
"Evolution is God's way of giving upgrades" Francis Collins