The reason I stated "assuming the pipe is full" is that I wanted to use Darcy-Weisbach to calculate the friction head, and this method applies to full pipes. Once you have the result, you need to go back and check if the assumption was true.
Getting on to your question of whether the pipe is full or not. As you stated, as the flowrate of the water is increased it will reach a stage where the water carries the air out of the pipe. According to the articles by Simpson and Hills referenced in thread378-81608 the air will start to be flushed out once the Froude number exceeds 0.31. With a 2.9" pipe this is at approximately 18 gpm.
At the other end of the scale, Simpson says the Froude number needs to reach 2.0 before the pipe is totally flooded - if the discharge point is not submerged. This would be about 115 gpm. For flowrates between 18 gpm and 115 gpm you would get pulsating flow until the air was all removed. But if the discharge is not submerged, or if the final horizontal section is not full, air can flow back up the pipe and you will get unstable conditions. Between these two extremes, Simpson gives the value of the Froude number as 1.0 at which syphons form readily, although he notes that there may be pulsating flow.
If the end of the pipe is not submerged it becomes important to be able to predict at what flow the horizontal section becomes flooded. I would say the friction head through the final horizontal section would have to exceed half the diameter of the pipe for this to guaranteed. To get a friction head of 1.45" WG in 2 ft of 2.9" ID pipe you would need a flow of about 140 gpm. Simpson's value of Fr=2.0 at flooding would suggest that my estimate is a bit high.
If the pipe is flooded, it becomes an easy task to calculate the actual pressure at the top of the vertical section, by off-setting the friction losses against the static height. This needs to be done to check if the liquid will boil.
At some higher flowrate the point will be reached where the friction head matches the static head exactly, and there is no more risk of boiling. For 10 ft of vertical pipe and 2 ft of horizontal pipe this would be at about 540 gpm.
In summary I see the following 4 flow regimes
1. Below 18 gpm the water runs down the walls of the pipe and the air remains in the pipe.
2. Between 18 gpm and 115 gpm the air will be swept out of the pipe, but it may flow back up and pulsating flow can be expected.
3. Between 115 and 540 gpm the pipe will be full of water and the flow will be stable - provided there is no boiling.
4. Above 540 gpm there will definitely be no boiling, but of course the cut off point for boiling will be a bit below 540.
If the pipe is full then then you can confidently take the change in height as an aid to the pump head (subject to the boiling check).