With the amount of debris you have removed, I would be concerned with the smaller debris that may have circulated throughout the lubrication system and the condition of all the bearings in the engine, and the fine journals that feed the oil to the bearings....  

I might recommend a complete dis-assembly of the engine for a close inspection, and have the block, head, and all major components thoroughly cleaned of all debris... which should take care of the 'glazing'...

If the oil filter is as clogged as it appears, the oil may have been bypassing the filter to maintain pressure....

Yes, That hairy looking thing is the oil filter. The is what is left of the plastic guard. The timing chain assy has three guards. one on each side and one on the top. The bits in the oil pan are from the top guard. So far, everything else is checking out okay. I should know by next weekend if the timing chain jumped. Fingers crossed that it didn't. If it did, that opens up a whole new set of headaches. The previous owner did not take care of the Mini at all. My son and I removed tons and tons of trash and cigarette butts. We also did a deep clean of the interior. Its amazing how much he did in such time. From what I can see, I don't think he ever changed the oil.

There has been a well known problem with the timing chain in many of the Mini Cooper lines. There was a class action lawsuit years ago that when settled, BMW/Mini had to reimburse what the owner spent on repairs (as long as the repairs were done at a Mini dealership), repair the problem, or replace the engine if that was damaged when the chain gave up. Unfortunately for me, the window to file a claim closed sometime ago so, I am taking on the repairs myself. It hasn't been to difficult so far. I paid next to nothing for the Mini so the time, effort, and money I spending right now is negligible and I should have a fun liitle car to drive around soon.

my question is why did the guides break?

that is a hairy looking oil filter

is that plastic or metal swarf?

Very true. I do not see any evidence that the chain has loosened, or possibly slipped and caused any further damage. I will check though.

The chain might be intact, but if it looses tension, the timing will change.

In a worst case, the timing will be so different that pistons will hit valves.

The timing chain is completely intact. The only pieces to give out were the plastic guards.

If the timing chain went this bad ( destroyed) are you sure the Pistons didn't Hit the valves?  Bending valves - leading to a head job.

 I would roll the engine and Cams around to  'closed valves ' on the cams and do a leak down test.. Make sure the valves close before doign all the timing work .  you already have the head 3/4 apart at this point.

Goodluck

Okay... this is going to be a group reply. First, thank you all for your input. Second, I should clarify what is going on. I have the engine partly torn down so that I can replace the timing chain. The top guide shattered and ended up in the oil pan. Another guide is broken in two places. I am getting ready to take out the damaged timing chain assembly and replace it with a new one. While I have the engine in the state it is in, I'd like to take of some things you normally couldn't. My comment about the oil glazing are becasue of what I can see. I can see glazing on the camshafts and the surrounding area and was actually inquiring if there was a product that was safe to use that would clean the camshafts up. I am adding picture this time.

good advices above... 

It's best to not disturb any crud built up in the engine, if it starts circulating around it will cause more problems with things like OCV's, scoring bearing etc.

Don't make yourself crazy with what ifs. Stay the course and do routine maintenance and the obvious. It still is a used car and enjoy it before something else needs to be replaced.

I am getting ready to replace the timing chain in my 2008 Cooper S. As I was removing parts, getting the engine to the point where I could pull the timing chain out, I could see where the prior owner had fallen short in the maintaining department. First off, the oil filter was completely black and hard as granite. I have my doubts if he ever changed the oil....   Secondly, there is some oil glazing on and around the area for the camshafts. Outside of tearing the engine apart more and spending more money, is there a way to reduce or at least minimize this glazing?