Hiya Marlin, Nice to hear that you resolved your head gasket leak and the V70 is fully back in business!
Sounds like it could be that the cat is inefficient and doesn't want to chase mice anymore, but I wouldn't go replacing it just yet. If it only throws the code at that interval and with that fuel economy (which is excellent for an AWD BTW!), I might try and live with it.
Assess the condition of the O2 sensor(s). Are they original? Worth replacing the front one at least. Perhaps research what repeated washings with coolant will do to one... Then for good measure look things over for an air intake leak (if there is one, it'll be small).
-Will
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XC60 / Odyssey
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