Not at all unusual for a Continental. I would have a good look at the cam, chances are it's still ok, replace the lifter and run it. SID 05-1 is detailed enough to make a very informed decision. It's common to have a sudden increase in fine iron particles in the filter from a lifter, which cleans up by the next filter change. As per the SID, the lifters do actually 'heal' themselves

We've seen this issue at least a dozen times over the last 10 or so years, not once did it result in an unscheduled removal. This is also why I don't recommend oil analysis to my customers, it rarely gives any useful data and often causes more worry than necessary

These engines are very robust given just a little bit of care
