It sounds to me as if the engine lacked oil long enough for the turbo shaft to break. Is that correct? Or did the turbo oil feed fail? If the former, the prognosis is not good for the rest of the engine. Do you have any rod knocks?

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1977 300d 70k--sold 08
1985 300TD 185k+
1984 307d 126k--sold 8/03
1985 409d 65k--sold 06
1984 300SD 315k--daughter's car
1979 300SD 122k--sold 2/11
1999 Fuso FG Expedition Camper
1993 GMC Sierra 6.5 TD 4x4
1982 Bluebird Wanderlodge CAT 3208--Sold 2/13