My son has a '90 240 that is leaking engine oil from the rear of the engine. It leaks about 1 quart in 1k miles. It is not leaking at the cam plug or the valve cover gasket.
Flame trap, vacuum port, hoses, and oil separator are clean. When inspecting the rear seal by removing the covers,(auto trans) the real seal area and converter looks dry from below. The oil seams to be originating somewhere between the head and the upper rear half of the block. The oil spreads out above the transmission then drops low to the exhaust and frame rails. The head gasket was replaced due to a small antifreeze leak near the front it seamed to cure a oil leak to at that time. It was replaced with a Fel-Pro gasket. The leak started several months later. Are Fel-Pro's known to leak oil at the oil feed to the head near the rear? The other possibility is the rear seal plate to block seal.
Experience with this type of leak will be very helpful.
Thanks in advance
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