The guy I bought the engine from did mention that I'd probably be ok on the stock diff. He half mentioned what you've said though he didn't describe it as eloquently.
I now understand it a bit better thanks to your pointer and it is at this point that I must confess that I own a pair of drag wheels and tyres and will be hooning it down a drag strip later this year. Also I'm planing on having around 255 tyres on the rear for road and track use.
So because I will be giving the car a hard time periodically it does say to me upgrade and don't be embarrassed at the starting line of a drag strip with a popped diff.
I have a spare S2 diff just incase I did break the standard but I've got the feeling I should just jump in and change it as soon as.

 

Kinda getting into drifting myself, got an e46 328i with the basic set up for drifting. Last year I had a learn to drift day and loved it, since then I've practised a little on private property and on the 11th I'll hopefully be doing my first drift event at Norfolk!!
I'll put a video up if I remember to record one

 

255s will be fine on that diff And don't worry about embarrassment! What you want/need to do is get the car built. If using the standard diff gives you one less thing to worry about it's a good thing.

 

I could always trial it on stock diff I guess, see what happens.

 

Carl just fit a supra one fit and forget

 

I didn't think they were limited slip though?

 

Yes turbo ones are

 

Surprise!
It's been awhile ..
Work had been halted by the two poster ramp that the car is on being disconnected.
The place where the car is are moving to a new premises hence the disconnection.

Yesterday before the NW meet (which was really good btw!) I managed to get a friend to wire it back up, so in about half an hour I'll working on the monster again!!
Engine needs moving back 5-10mm and up 10mm.
A couple of other tidying bits too as well as measuring for front support members.
It's booked into exhaust shop for the 28th January, should be away less than a week then it's fueling, wiring, plumbing ... Shit there's still quite a lot to do ... Haha!!

 

Good to meet you last night Carl, it was very...educational

Can't wait to see/hear the V8, hope the rest goes smoothly

 

I thought it was common knowledge!!

It didn't go too well today, the engine needs raising another 15mm.
Though it's now far enough back for the steering rack to clear the crank pulley!
I need to make some new engine mounts to give me the extra height required.
Working this weekend so I won't get to play until Monday.