you might try to fish the shaft out through the drain plug...just take the plug out and run a magnet along the bottom of the pan to the drain plug and see if you can find it ...worth a shot before pulling the pan off
yes i know this is old ,but i came across this today and remembered other guys were having the same problem..its always good to know.Common distributor problems:
Distributors with very little or no shaft endplay. This has been found
with new and remanufactured distributors. Improper endplay may force
the gear against the support in the block or hold it up off the support,
causing damage.
Distributors that have a different material gear than advertised. It is
important to run the correct distributor gear for the camshaft that you
are using. Consult the manufacturer of the camshaft you are using for
gear recommendation.
Some heavy-duty oil pump drive shafts may not allow an EFI distributor
to slide down far enough over the oil pump drive shaft. EFI distributors
have a longer shaft below the gear.
Running an HV oil pump with production bearing clearances can cause
abnormally high oil pressure and possible premature distributor gear wear.
Gears on camshafts with a very poor finish. This could cause premature
distributor gear wear.
New and remanufactured distributors with the gear installed at the
wrong height.WARNING: If the distributor gear is installed incorrectly, it may
be forced down against the support in the block or may be held
up away from the support in the block. Both conditions will
cause damage to the block and or the block and gears. When
the gear is properly installed, the cut on the gears and the
direction of rotation will pull the distributor gear down against
the support (distributor gear thrust face) in the block.