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Thank you for the quick reply and the welcome! The drive is still apart, as I haven’t yet installed the water pump and put it back together. The oil leak is from the upper unit, what might be described as the upper shift assembly. It is the top piece that fits over number 32 in the diagram you...
I removed my lower unit to replace the water pump on my alpha 1 gen 2, 2006 MerCruiser outdrive. In the process of that I noticed the shift linkage in the top half of the unit appeared to be weeping gear oil from a small hole. Is this normal?