It's been over thirty years since I was inside a diesel, but here are a few thoughts:
1. It should be nearly impossible for oil to leak pass the valve guides on a turbocharged engine, since both intake and exhaust ports have positive pressure most of the time, and oil under the valve cover shouldn't have any pressure. The only way oil is going to make it into the exhaust is if it's under pressure.
2. Is your customer ABSOLUTELY CERTAIN the oil problem didn't exist before the first "rebuilder" went into it? That's important! If it was OK before it was worked on, then the first guy put it back together wrong and you just repeated his mistake. But if it was already blowing oil when he took it in, then something broke inside the engine and neither of you have found it.
3. Do you know exactly what, if anything, the first guy touched in the engine? Were injectors pulled? Sleeves pulled?
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Today's Featured Article - A Question for Dads This recent topic from the Tractor Talk discussion board is being highlighted because it is an awesome display of the caliber of individuals that have made this site their own. The young person asking questions received positive feedback and advice from total strangers who "told it like it is" with the care many reserve for their own kids. The advice is timeless... so although it isn't necessarily antique tractor related, it will be prominently displayed in our archives to honor those who have the courage to ask and those who have the courage to respond in an honest, positive manner.
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