Okay here is a video from a cold start showing the pressure in the system after about a min of running. Its hard to hear I know. Car was started from about 35 degrees.
Picture 658.MOV - YouTube
This video shows what appears to be air bubbles, its hard to tell if its air or grease particles in the coolant.
Picture 660.MOV - YouTube
Here is a pic of the milky stuff on the oil cap, its hard to see on the metal but you can see it on the rubber seal ring. I have heard this is normal, however I know this car very well and I have never seen this happen before.
Tom, I appreciate the offer but I would like to leave the original engine in the car. I got this car from my grandparents so it’s a special car to me, I will correct the headgasket leak if there is one.
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1985 300TD Turbo Euro-wagon
1979 280CE 225,200 miles
1985 300D Turbo 264,000 miles
1976 240D 190,000 miles
1979 300TD 220,000
GONE but not forgotten
1976 300D 195,300 miles
1983 300D Turbo 175,000 miles
http://i42.photobucket.com/albums/e3...e485-1-2-1.jpg