I’ve recently found the correct instructions for setting the timing on an M30 engine. I had used the marks in the front of the engine, which are a bit cryptic and actually only indicate TDC.
Fortunately, the M30 was used in a number of cars and I have found a couple of sites with useful information about the engine and it’s settings.

I found the correct information for setting the timing using the timing marks on the flywheel at the back of the engine on firstfives.org after following a link on seniorsix.org. It’s easier with two people, but not hard and should only take a few minutes. I’ve not had a chance to open the hood and actually do it as we have had all-time record rains this month and the month before causing the BMW X3 to leak around its rear doors and some house leaks as well. I will be going to Missouri in a week or two to deal with ancient family vehicles, including a 1941 Dodge WC-21 and M-29 Weasel.

Here’s the actual page for setting the timing:
http://www.firstfives.org/faq/ignition_timing/ignition_timing.html

I’m chomping at the bit to get the E9 into the garage and start work, but parts must be purchased, shelves constructed, a work bench moved in and other assorted house details completed before I can begin. There is a meet of local BMW guys in October that I hope to be able to bring the car to, but that is looking unlikely at this point.