95 Beretta coolant in the Oil

[gnuiver]

95 Beretta 3.1 automatic. 56000 miles Drained the oil out of a car I just picked up. Sounded like a rod bearing knocking so I picked it up cheep for a project for my son. Coolant in the oil but not mixed in with it. I'm confussed? Going to pull the motor and investigate but never saw this before. Any ideas?

[Purple pit]

Man that has low miles! Early 3100's tend to have problems with lower intake manifold gaskets and lifters(the bad lifters sound like a rod knock).