I got the Engine from Lahore Bilal Gunj but I would recommend you getting the Engine from Rawalpindi or Peshawar. I got the following things replaced
Engine with Gearbox, ECU and complete wiring along with AC Compressor Rs 82,000
Inner and Outer Axles Rs 8000
Exhaust Pipeline Locally Fabricated since couldn't find the original one Rs. 10000
Labor and Oil Lubricants Rs. 23000
I also checked the head assembly of 1KR-FE and that was for around 45000 but I was not satisfied with the performance of this engine since i've driven it for 7 years now. It was underpowered, noisy and very rough although i've been using Hi-Octane all along. The fuel average was 10-12Km/l in City and 15-16.5 Km/l on Motorway and GT Road which was satisfactory.
I got the 2SZ-FE 1.3ltr engine, the noise has reduced, the engine is powerful, very smooth drive. I haven't been able to guage the fuel mileage but from the looks of it its somewhere around the 1KR-FE Engine.