Thank you Garry.
Richard, I think you need a 1/8" hole at position 1 and position 2 needs to be plugged.
I think the object of the kit is to bring configuration of RD17 to that of RD18. See my 1st slide of the Utah RD18. It has the 1/8 hole and there is no opening at position 2. There are two round bosses, one is blank and the other is plugged. Here is a picture of the parts motor RD18. It looks more like yours but again has 1/8 hole at position 1 and position 2 is tight.
Looks like you have a tapped hole at position 1. I hope it is not larger than 1/8 but maybe it could be bushed, plugged or redrilled.
I would not go with this until more experienced members weigh in. Chris_P, others, do you agree?