From the photo, I'd say you need to prep the block face better.

1. Get all traces of the old gasket scraped off (it looks like this has already been done)

2. Get all oil stuff off the block face. Chase it off with ether, then scrape some more. Use a gasket scrape (easier) or a chisel or sharp putty knife (requires more careful). Do likewise with the cylinder head face

3. Chase the head bolt threads with a tap. I use an old head bolt which i've cut a line lengthwise with a hacksaw blade. Spray with ether and blow it out by using a length of tubing.

4. When you put the headbolts in, do not drip oil into the bolt holes, or dip the bolts in oil. The bolts should be very lightly oiled (no extra oil, the existing old oil is usually enough) to obtain a correct torque.

See Changing Head Gasket for more details.