
I've just started stripping the sierra only to find it has a rounded sump plug.
Any ideas how to get it out and will it be okay to remove engine from car with oil still in there?
taking the engine out with oil in will be fine. just don't turn it upside down
when i got my engine rebuilt, the guy who did it put oil in, knowing i'd have to bring it home in a van, and it wouldn't go in the car for a
few months (years now
)
yeah it will be ok 
Fine to remove with oil in - as long as you don't tip it over / lie it on its side it will remain where it is.
How rounded is it? Some spanners work on the flats that round off, some (somehow) work on the middle of the flats.
Taking the engine out with oil in it is asking for a major oil spill at a later date --- likely at the most awkward possible time.
Normally rounded sump plugs can be removed with a decent Stillson pipe wrench failing that you need to suck the oil out through the dipstick hole
using vacuum oil changer pump or an oil syringe as sold by boat chandlers on ebay. ---- see ebay
If I can't remove a rounded sump plug with a six sided impact socket, i turn to the faithfull mig welder.
Find a suitable size nut, drill out to size if need be, Tap the nut over the sump plug.
Turn the welders power up ( Full power if a hoby mig ) & plug weld the nut to the sump plug, allow to fully cool, you should find that the sump
plug will remove very easily
Halfords keep replacement sump plugs, about £5 ish
Best try to do the job whilst the engine is still in the car, not the easiest thing to do once it is swinging arround on an engine crane, stand or
spinning arround the floor 
Sharp chisel & hammer. Hit it in the counter clockwise direction and shock it loose. Never fails.
Easiest way (but not the cheapest) is to grab a set of bolt grips from machine mart. I've got a set and I've used them a million times
working on cars to remove rounded and rusted bolts. Absolute life savers.

I would go for mig-ing a nut on it too, but equally although ive not removed an engine before i wouldnt be against taking it and then looking at it
onces its on there stand.
I like the IRWIN nut grippers, never seen that before. Although i depends what the plugs like, mine had an internal square to remove it.
Daniel
The sure fire way is to weld a nut to the knackered bolt and use a bigger spanner than the 13mm that rounded the chocolate plug in the first place. Ford keep replacement sump plugs about £1 where I got mine from.
Irwin bolt grips are great but a set covering the sump pug size is likely to be expensive, also as many sump plugs have very shallow hexes I am not sure a bolt grip will get a bite.
I'm with bonzoronnie, go for the MIG option 
Weld an old socket on, that way you can get your ratchet on.
I've taken loads of engines with the oil still in with no problems
Irwin nut removers are good but need enough depth on the nut to get a good grip. Sump plug might not be deep enough on the hex.
I've always removed Sierra rounded plugs by heating then with a blow torch (or carefully with welding torch) to melt the plastic washer then
remove it with grips. Done lots of times and it's surprisingly easy to undo once the washer melts. No problem with the oil still in either.
quote:
Originally posted by Benzine
I've taken loads of engines with the oil still in with no problems
As i said Stillson pipe wrench works every time.

A bit of heat will melt the plastic washer as already suggested, the reason welding works . Most Ford use case hardened cheese for the sump plugs and rounding off is common, a bit of heat and Bob's your uncle.
quote:
Originally posted by britishtrident
sooner or later the extracted engine gets knocked over ---- 4 litres of black used oil makes a hell of a mess.