HI All... have a 2000 S80 T6 w/ 128k miles. Mechanic took a quick look and says it appears coolant is leaking out the exhaust system, probably from the turbos. He does not work on volvos but that was what he could see on initial inspection. Issue had been coolant light warning light was always on even after filling up reservoir and temp would spike in car.

Any ideas?

This is why I don't like the T6 engine. The dual turbos get the engine bay too hot and the cooling system is not robust enough to keep things 'cool.'

Your turbos are probably OK, but not the head gasket. The engine has already overheated and needs an overhaul. The float inside the overflow tank could be defective and cause the idiot light to stay on.

It is hot enough outside to pull out the thermostat and run without it. If the previous owner installed a cheap aftermarket product, it could be stuck closed.

Klaus
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Always willing to listen, just not able to take direction.

So you think the engine would need to be rebuilt? Or just a gasket replaced? The thing is the engine runs strong just doesn't cool. I would think if the engine was blown or needed rebuilt it wouldn't work at all or would be horribly degraded in performance.

The engine is not "blown", meaning rings and valves are OK. But from what you said, it appears the headgasket leaks. Verify this by having the oil tested for antifreeze and vice versa. Check the exhaust for antifreeze also.

Did you pull off the thermostat yet? If it is stuck closed, the engine temp will rise quickly. The car can run without the thermostat in place, but it will run rich until the engine hits normal operating temps.

Klaus
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Always willing to listen, just not able to take direction.

Oh ok... that sounds much better. What is the usual cost on new head gasket? I believe there was anti freeze in the exhaust atleast according to what the mechanic said... So that would make sense.

On the 5 cyl engine, figure about $800-1200, for a mechanic that knows Volvo engines. The T6 is more. All labor and a few hundred to mill the head.

Klaus
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Always willing to listen, just not able to take direction.

Sounds like i need to get it into the volvo shop. I think i'll avoid the dealer if possible. There is reputable volvo repair guy somewhat near me. Now just gotta tow the car up there... ugh.

Dealers do not repair head gaskets, they only replace engines. Call the local indy and ask him for a ball park figure.
If you could remove the thermostat, you could probably drive it there. That depends on engine condition of course.

Klaus
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Always willing to listen, just not able to take direction.

Just talked to the local volvo shop and he said based on the issues that it would be new head gasket. He said probably 2000-2800 to have it done. 11 hrs of labor.