The KDX200 was a little late in making the switch from air to water cooling. It changed from air cooled to liquid cooled with the 1988 model but prior models had air cooled versions of the exhaust valve system.
The KIPS System: This system incorporates an exhaust resonance chamber to increase the exhaust volume which is mounted on the left hand side of the barrel, and two side exhaust sub ports and one central exhaust valve operated by a centrifugal crank gear. The water cooling intake is on a stub mounted to the barrel and it has a large reed valve intake. Later versions revised the exhaust height valve from a rotating assembly to a gulliotine type and have a large access cover above the exhaust exit.
This barrel is immediately a good starting point for a Series III Lambretta as they share the same 58mm stroke which makes the adaptation a little easier. The carb location would require some major re-welding and modification of the central frame tube because of a space conflict. The exhaust valve actuator sticks out of the right hand side of the barrel. The trick with motocross barrels is devising a system to control the exhaust valves electronically like the typical Japanese two stroke street bikes.
The piston is a good fit to a Lambretta or Vespa crank as they both use 16mm small end gudgeon pins and 20mm big ends. The most reliable solution would be to replace the con rod of a scooter crank with the entire KDX con rod.