As a wild guess i would say the head is rusted thru where water is close to the exhaust port. If it was a headgasket and water in the cycls it would miss and you didnt say anything about a miss when starting so thats why im guessing the head is rusted thru. Now you can remove the muffler and look down there and just mite see where its coming from. In my yrs of being around those engnes ive seen that happen three times just like you describe.
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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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