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I had the same issue and someone on this board suggested using Auto-Rx. Check out Auto-Rx.com. I was leaking oil (probably rear main seal) and blowing smoke which several posts diagnosed as valve guides (which are not available from Volvo individually anymore according to FCP Groton). Anyway, I sprank for the $25 for the Auto-Rx and have been thrilled with the results in the first 800 miles. No more smoke and the car is leaking about 1/10th of what it was originally. Everyone will say this is temporary but check out the web site, it was pretty impressive.
Todd
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