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8 psi for a bypass pressure setting seems very low for a diesel. Your engine manual should have specifications for this value.
Absent specifications, the best thing to do (assumeing you have an oil pressure gauge) is to compare your normal cruising speed oil pressure with these values. I suspect it is a lot closer to 20 than to 8.
I have a 30 year old Westerbeke 4-154 and the bypass pressure is 40psi.
Bill
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