I've got a 1997 Legacy GT wagon with less than 50k on the clock (it sat for 2 years undriven); lately I am getting a very bad burning smell when it is parked, and occasionally puffs of white-grey smoke from under the hood and through the hood vent. Looking under the hood with a flashlight I can see an area on the rear passenger side of the engine that is caked with crud, which seems to be burned oil or oil sludge.

I had the cam gasket replaced in this block once already, at 36k miles; it seems when the car sat for so long, the gaskets dried up and cracked. Is this the cam gasket going again? Or is it the head gasket? What would cause oil leaks from the passenger side of the engine? The leak is dripping right on the exhaust behind the header, the hottest part of the exhaust system; I'm more than a little concerned about an underhood fire, considering my wife is the daily driver of the car.

 

oil burning on exhaust probably makes a white(like a light grey) smoke. v/c gasket...... cam seal gasket.... you should be able to check it out from the bottom and a strong flash light. or you can put dye in the oil......do a oil change since it has been sitting for like two years and clean the area..... then recheck the oil leak(with the dye in it) after a month. g-luck.

 

This is how it looked under my car with a leaking front oil seal. The oil was all over the exhaust and smoked like crazy.


If you see oil drips on the front coolant hex drain plugs, you can bet it is either the crank or the cam oil seals.


Once replaced, the mess went away.......well, at least until the valve cover gasket started to give out.