In trying to determine what's causing my knocking/smoking engine (Officially bummed: knocking 92 300D 2.5T), I pulled the injectors and discovered that #1 was oil soaked. When I turned the engine over w/o the injectors installed, sure enough, oil, shot out of #1. I am guessing this is a head gasket failure similar to gsxr's, but I want to understand the symptoms as best I can. Would/could a breached head gasket also cause loud knocking? My car smokes and knocks within a few seconds of startup -- I'd say within 15 seconds. Until then it behaves normally, and it still starts easily.

I am hoping to hear that it's not uncommon to have a bad head gasket cause knocking. I would be delighted to get away with removing and checking the head and throwing a new gasket in!

As always, thanks in advance for any input.

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1992 300D 2.5T
1980 Euro 300D (sadly, sold)
1998 Jetta TDI, 132K "Rudy"
1974 Triumph TR6
1999 Saab 9-5 wagon (wife's)