I normally cut the grove for the ring in the block, and only cut a receiver groove in the head for lots of nitrous or boost. Its a lot harder to cut grooves and o-ring the head, but the purpose is the same. I have the old Isky tool to cut the blocks. Got to have an end mill to do the heads. Biggest mistake I see is not getting the o-ring the proper depth. Most that have water leaks have the o-ring to tall out of the block, holding the gasket off the water passages.
http://scegaskets.com/wp_super_faq/titan-pro-gasket-installation/SCE website give proper procedure. And use motoseal type silicone sealer around the water ports. Its designed for motorcycle cases met to metal sealing, its a thin silicone, you put it on with a brush. And a coat of copper coat on the gasket.
