560 Oil Leak
 

The 86 560SEL has been leaking a little oil for a good while. When I was under it the other day, trying to see why I was loosing a little P.S. fluid (looks like a pressure line), I notice that the sump oil pan (the little thing with the drain plug in it) was leaking. Is this a common problem with these models? Also what would cause a small ATF leak, other than the pan gasket (which was just replaced)?
Thanks, Dave.

oil leak
 

the power steering leak is going to be a return line [common] try replacing clamps otherwise replace short hose and clamps.the lower oil pan gasket tends to leak at all the small bolts.try tightening if not successful replace lower pan gasket during an oil change.while you have pan off two other things to do [1]up on right side of block[only accessible with pan off] is oil level sending unit.remove clip from outside and push in pull down and replace both o rings[if it doesn't leak now it will] [2] take the rubber protector off the oil pump pickup and clean the screen. one more sugg either hammer out the lower oil pan or replace it[they are cheap].

Work from the top down - the valve cover gaskets can, and do, leak when they get old, shrunken and hard. Mine leaked from the back, and made it seem like something was leaking under the engine. It's very important to torque them properly with new crush washers when installing new gaskets.

Well, I replaced the Valve Cover gaskets at the last oil change, and will replace the lower (sump) oil pan gasket at the next one. I'll try just redoing the clamps first on the ps line. When you spoke of replacing the O-Rings on the Oil Sending Unit, is that something that must be done with the entire crankcase oil pan removed or just the sump? Or must you remove the crankcase pan to get the sump off :eek: ?
Thanks, Dave.

oil leaks
 

just remove the lower pan.the level sender is on the right side of block down near the bottom where the main oil pan joins to block.you have one small and one large o ring.

If its just the P/S return line, be happy. If the gearbox leaks, not only is it expensive, but the leaking fluid will eat the subframe bushing as well.