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Oil/Water in cylinders - help!

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Jlisiecki

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My 97' GSI suddenly wouldn't turn over. The last time it was run was over Memorial Day weekend. I installed a new battery at that time and it ran fine. I recently tried to start it and it wouldn't turn over. I thought it was a bad or dead battery from sitting so I replaced it, but that wan't the problem. After pulling the plugs and noticing the same green slimy stuff that was in the bottom of the hull on the plugs as well, I hit the starter and the cylanders were like blow holes shooting water/oil/gas mixture about 3 feet into the air.

Would this be a bad head gasket or another outragously expensive fix?
 
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