Scottfish:

Peter's last post says alot.

I more or less have the same vehicle as you; mine is a 1991.

I was using a qt. every 1000 and a new head gasket and valve stem seals cured that. I'll assume the people who did your valve job did indeed change guides, seals, OEM head gasket and also replaced the infamous U-Gasket up front. If all of that was done, you have a leak.

The 103 motors are "leakers".

__________________
Mike Murrell
1991 300-SEL - Model 126
M103 - SOHC
"Fräulein"