I have done and re done many HG on different stuff. I have never had a bad fel pro, but I never used any coating on them. I feel there coating works or has for me.
On my last VW in my build thread I used ARP torqued to 100ft/lbs, permatex aviation sealant on both sides of the MLS gasket, and have no issues yet 11,000 miles.
I would also say the ARP IIRC have the 12-1.75 on the block end for threads, but the head end is 12-1.25 and that to is way finer than stock. Unless raceware does super fine 1.0 thread pitch if they can do that I would think they are the same.
I say you have a bad heat treat on the stud. At the tensile strength these have, eventhough chromoly is more forgiving than carbon or stainless alloys, it should break at about the same point it stretches. If the heat treat didn't get in there far enough instead of the high ultimate tensile strength it will be more elastic and stretch sooner. It is just a guess, but for what ARP charges for this stuff they should stand behind it either way.
Something else I did with my head studs was put on an old whipped gasket and torque/retorque several times at 80ft/lbs. Since my studs were new I wanted to relieve the stress in them if possible. ARP tells you to do it with there rod bolts and all the circle track cars that we built would suck until we started hanging them for 2 years after welding them up. I went overboard/full retard on mine though as it was the first diesel I did and first daily driver. I didn't want to run into trouble so I went the extra on every step.
Good luck getting the oil out of your coolant system. I think Maxfax has a procedure down pat if you need help contact him
