This oil may be coming from the front transmission seal. I think that is more likely than the engine. Does the oil look like transmission oil (thick) or engine oil (thinner). On the cub there is not a drain hole in the torque tube near the transmission so if the front seal on the transmission is leaking, the oil will eventually fill up the cavity in the torgue tube(Clutch housing) just in front of the transmission and then come out the hole near the clutch. You can test out if this is the case by parking the tractor with the front down hill. If more oil runs out, it is coming from the transmission. That transmission seal is not hard to replace, but you do have to split the tractor in just in front of the transmission. While you are in there, probably need to replace the front bearing on the transmission input shaft as well. Better get yourself a manual before you tear into this.
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