Well, the wheels still aren't turning, but the driveshaft is out and I know for sure now that the transfer case (bevel/angle gear) are fine.
The problem most likely is that I have a stripped carrier gear that transfers power from the transmission to ring gear, which then drives the pinion gear for the driveshaft to the rear Haldex unit.
I've concluded this as I just removed a used transfer case from a 2006 XC70 at my local PNP and now understand how this thing works.
Plan is to rebuild this unit with new seals and to see what shape the bearings are in. Currently they feel fine, but one never knows until you get in there. I'm also going to add a drain plug so that changing its oil will be a whole lot easier in the future.
I'll post more once I've rebuilt the unit, and then after I've re-installed it in the car.
Later,
Matt
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1989 - 245, 1990 - 245, 1991 - 245, and 1993 - 245
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