Yes, install dry. Make sure the cylinder head surface is clean and flat. I surface them with 220 to 280 grit wet or dry 3M or high quality paper. Set paper down on a very flat surface.....like an old countertop, tile, or similar......flat and hard. Provide a lubricant like WD40, mixed gas, fuel oil, or soapy water. Work an even and consistent motion until all the head surface has been contacted.....then finish with a figure 8 motion. This will insure a nice finish and flat sealing surface. Sometimes I block finish the cylinder block, especially if the powerhead/block is off and undergoing a complete overhaul. It can be difficult to block finish the cylinder block when it is still bolted to the rest of the lower housing.