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Hello Velan:
I have read your questions and I will try to give you short but comprehensive answers. If you plan to keep your car after the repairs you have done, change to synthetic engine oil and ATF. Put in true synthetics like Mobil 1 or Amsoil, not Castrol Synthec or blends. Use 10W-30, or 10W-40 or 15W-40 given the hot climate and mileage on the engine. If you have flushed the engine regularly and it is clean now, you probably can stop flushing or do it less frequently as long as you use synthetic oil. Given a clean engine, a thorough drain the old oil from oil cooler and such with a new Mann or Volvo oil filter put in, and you can probably double the oil change interval to 16,000 Km or six months, whichever comes first. Sythetic engine oil will not harm seals. If they leak, it is because they are defective. Change them. Flush AT with synthetic ATF like Mobil 1 following instructions in 700/900 FAQ. Given overhaul, it would be a good idea to put in right away a Magnefine in-line filter (3/8 inch, $20 from Emerging Enterprises), before any debris left behind damages new parts. Buy two of these filters and put one on the power steering return line. Flush power steering with synthetic ATF too. Put synthetic gear oil like Mobil 1 or Amsoil in the differential. Flush brakes with Ate brake fluid. Best regards.
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