I know that original early M78 / stamped receiver mags were actually made with mil spec G3 mag bodies and just stamped with a finish proof mark and sleeved the top differently with the front and rear lugs added. I have 2 M78s .308s rifles and I have been toying with the idea of getting my local gunsmith to make a bunch of M78 mags using extra G3 mags I have for economies of scale and then sell a few for like $100 / piece to help off set the costs.
I thought that the M76 .308 guns used a completely different mag design which was not compatible with the M78 mags? If that is the case, I am wondering if that compatibility issue would create a problem using G3 mags as a base. If the M76 mag just uses a different lug profile and that is why the M78 mags dont work, then I would think that G3 mags would indeed be a good base. It sucks that galil .308 mags are so expensive as that seems to be a costly substitute but I get that it is less expensive than M76 .308s.
I am curious to see what you can find out. I have personally stayed away from a few M76 .308s simply because I didnt want to deal with the mag issue.