Richard,
sounds like you're telling from Jesper / Racing, looks like it's his setup, I posted the pictures of his work...
An additional question for the "best setup" would be: what's your goal?
Do you want the nicest technical solution?
The cleanest looking solution?
The easiest / cost minimized solution?
The answer will depend on your goal, I think.
It also depends on the shape of your current ignition system, if you need new wires, wire plugs, distributor cap, finger, maybe the distributor itself, I would install a WS system. If I could use most of the parts I already have (and I personally could reuse them from my car), I'd stick with the distributor setup to keep things simple.
Running vacuum tube into the car... you already have a vacuum tube running through the fire wall in your 2.3-16. Any problems with that so far?
regards,
Christian