Anyone have an idea what this damage could be from. The cup is not damaged and rod is slightly bent . I don't see any damage anywhere else . Looks like it was grinding.

62 f100 short unibody 292 big back window massachusetts

From the pictures, the pushrod cup looks to have been welded to the pushrod stem to make it usable again.  With no other obvious damage pointing to a cause, I’d just replace it and check it after a few miles.

Lorena, Texas (South of Waco)

Thanks. That's what I was thinking .

62 f100 short unibody 292 big back window massachusetts

First where was this push rod in respect to the cylinder? If it was near one of the intake bolts to the head, I might suspect that someone installed a longer bolt than should have been to clamp the manifold down causing it to rub or bind on the pushrod. Check to make sure the bolt doesn't  extend to far into the head causing this. If it doesn't maybe someone caught it and just replaced the bolt with the proper size and left the pushrod alone, Just a thought I've seen it happen more than once on engine assembly.
Baby Blue 57

Oh boy . I did install a mummerts intake last winter. It is #5 intake , I'll pull bolt and check. Hasn't made any noise , I found it while investigating #7 burning oil. Thanks

62 f100 short unibody 292 big back window massachusetts

The damage being directly under the cup is too high to be the result of a bolt that’s too long.  But check bolt lengths anyhow as being too long in the end intake bolt holes can contact the pushrods in a lower portion of the pushrod than what you have pictured.

Lorena, Texas (South of Waco)

Ok I checked bolt and it isn't hitting, I ordered new push rod . The original problem I'm after is oil fouled plug #7 . I vacuum tested and I get steady reading of 21 , and when throttle is opened it go's to around 5 and shoots back up to 25 settling back to 21. It smokes from left pipe only . No smoke at start up after about 2 min light smoke at idle. Moderate smoke at idle after spirited driving. I'm waiting for compression and leak down guage I ordered . Also no noticeable pressure from oil fill, Any ideas . Thanks

62 f100 short unibody 292 big back window massachusetts

Compression test and/or leak down test will give you a good idea where the oil problem lies.  One of the worse case scenarios would be a broken compression ring.

Lorena, Texas (South of Waco)

valve seal on that cyl esp if return tubes blocked would be my first check.