Hi grumpy,
Ok, after some more testing and some troubles getting the cutter to start after stalling, I decided to revisit your instructions and here is what I am to so far.
The position of the needle was sitting somehow 4 to 5 mm below the flat part of the carby body. I realised this wouldn't come to meet the 1.65mm you say it should be, no matter how much I fiddle with the lever. If I bent it too much i was compromising the spring mechanism. (at 90 degrees the needle would unhook or the spring would come lose. Anything less that that would not lift it enough to be at 1.65mm from the top. I assumed that perhaps my carby is different, so lifted the needle as much as i could and went ahead trying to adjust the mixture screws.
The problem I have now is the cutter wouldn't start for the initial settings ( 1-1/4 turns CCW on both screws). I tried a bit more turn and a little lees turn in either or on both screws with no luck. This is just after I had been using it.
One good sign is, in the choke position I get a positive response. So much that it sometimes runs on full choke for a few seconds. I'll die if I switch to partial choke.
Similarly when I manage to get something out of it in the partial choke position, it is just a fast burst that dies out in no time. I have tried to switch this quickly to the run position but it dies anyway.
Is it possible that my carby needs different initial L and H settings. It was running
some minutes before I played with the screws. I didn't actually take note but it seems i had to screw them in more than 1-1/4 turns to get them to the bottom.