I have a Bullseye s362 turbo that was leaking oil into the exhaust housing. I believe the oil problem is caused from the height of the turbo in relation to the oil tap in the pan.
The oil pan is a Moroso pan with the drain back fitting pre- installed.

The problem is when the pan has 5 quarts of oil in it the fitting in the pan is under the oil level about one quart. This oil then backs up into the oil drain line.

My one question is now that I have taken apart the turbo and have cleaned all of the burnt oil off of the parts, will the exhaust seal be able to seal again or does it need to be replaced?

The bearings visually look ok but the clearance between the char bearing bore and the outside diameter of the bearing is .0045 of an inch, with a shaft to bearing inside diameter clearance of .0022 of an inch.

This gives me .018 of an inch radial play. I’m just not sure if there is too much clearance on the outside of the bearing to char.

 

I was hoping the SHodan would have some input on this.