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Hi Jon, thanks for your reply. We had the engine running probably for a total of about 45 minutes, and also took it for a "test drive". The mechanic has now comeback and said the only thing he hasn't checked is the coil pack (all the google searches I've done has pointed towards the coil pack)...

Not sure what is wrong with my Peugeot 206cc 2004 model. The mechanic did a compression test and told us we have a burnt valve on the No.1 cylinder. He went off and had it repaired/replaced and when he returned he told us it is actually the lifters which is not pumping up, new lifters were fit...