Most modern small displacement motors are making very impressive HP per CI. Variable valve timing, 4 valve per, OHC, computer designed ports, computer controlled fuel/ignition, ability to run 11K+ RPM, tuned air boxes, (high % VE) and so on.
Even if the jugs were in the bodywork and you used the doghouse with ducting it will still induce turbulence at venting areas.....while this could be minimized with careful engineering and testing, it would still be another hurdle.
Anything is possible but clearly you would be at a disadvantage on multiple levels from the start.
Now if you were to say you were wanting to use a Sube STi motor in 4wd configuration
Well....now that sounds like a winner to me!!!!
GOOD LUCK!
~JH