The others explained the slinger gear getting the oil up there.
There is a little pocket cast into the bottom of the PTO that keeps a little oil there for startup -- that's why it has a separate drain plug, to get any fouled oil out of there. Just as a precaution, once you've drained it, it's good practice to add the pint or two through the inspection plug at the top of the PTO just to get that little reservoir filled. The alternative is to leave it dry, and just not run the PTO for a few minutes after the first startup to give the slinger time to get some oil up to it.
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Today's Featured Article - Tractor Profile: Farmall M - by Staff. H so that mountable implements were interchaneable. The Farmall M was most popular with large-acreage row-crop farmers. It was powered by either a high-compression gas engine or a distillate version with lower compression. Options included the Lift-All hydraulic system, a belt pulley, PTO, rubber tires, starter, lights and a swinging drawbar. It could be ordered in the high-crop, wide-front or tricycle configurations. The high-crop version was called a Model MV.
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