Gibbo is saying that without the belt, the crank and cam can both move freely of each other (but only to a point - when the valves and pistons will meet...)
I havent real all of this post but
does yours looks like this? (sorry its a bit blurrred)
you can turn the crank and the cam a bit at a time, so that they both revolve to the correct destination..
If you want to get things lined up with or without the belt, I would carefully turn crank shaft clockwise to TDC (raised area on crank - (no.3 in pic- points upwards.. at this point the flywheel is locked too (it can be also 180 degrees out, ie the step points upwards but the flywheel hole is on the opposite side to the locking hole. turn 180 Degrees more
whilst carefully turning the crank, if you encounter resistance from the valves, turn the cam shaft carefully forwards or backwards, so the crank can continue to turn..
when at TDC, then get the camshaft to be as the pic (locking device fits in hole no.2)
Undo the 3 bolts slightly (no.1) and turn the camshaft central bolt so that the bolts are in the beginning of the slots.. leave them undone
fit belt.
tension belt (just approximately - so that the cam sprocket slots are now centralised, do the bolts up..)
the engine is now in time, the belt is on, the cam sprocket bolts are in the middle of slots.. this is all you can do..
turn engine carefuly by hand, 5 or 10 times ..it should feel like there is resistance every half a turn or so..
if so, then lock it all up, undo and thread lock bolts, reset belt tightness and thread lock the tensioer bolt..
apologies if this makes no sense, and also if my engine is not the same as yours..
john