Sharvey,

Since you have a M104 engine- It is apparent by the responses that the sign of needing a headgasket is oil in the coolant.

The external oil leak is probably the front cover needing to be re-sealed which is not very expensive.

To the list: So you guys don't consider a M103 headgasket leaking oil externally as a "head gasket failure". Only when there is mixing between coolant and oil?

I'll put valve seals in mine this year and see how things go. From what I see in Texas, you need to make sure the aux fan comes on when the coolant gets hot.

Michael

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Michael McGuire
83 300d
01 vw A4 TDI
66 Chevy Corsa
68 GMC V6 w/oD
86 300E