My 04 WRX wagon has developed an oil leak. I can't tell exactly where it's coming from but occasionally I smell oil burning. When it's been running for about 10 minutes I can see smoke coming from underneath the turbo next to the intercooler. Has anyone experienced this before?

 

You didn't state whether the car was modded or stock. It's probably an oil line for the turbo lubrication. Oil spilling onto the turbo or exhaust can start an engine compartment fire. Schedule an appointment at the dealer to have them fix it under warranty.

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0==WW==0
"…axles of evil…" - george w. bush

 

No modding at all. I noticed the leak about a week ago. Is this a common problem?

 

It happens but is not that common. Another thing that occasionally leaks is the coolant line to the turbo. You'll smell coolant and maybe see whitish deposits where the coolant has run down and evaporated over time.

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0==WW==0
"…axles of evil…" - george w. bush