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Yes, the distributor shaft seal is something different than the two o-rings. In my experience it is the most likely place for a leak. To access the seal, remove the distributor. To be sure this seal is the source of your oil leak, look for a light film of oil inside of the distributor. Any oil here usually means the seal is bad. Engine oil is quite thin at operating temperatures and only leaves a thin film. Once sure that this is the source of your leak, drive the pin out of the drive dog, remove the drive dog, and pull the shaft out of the distributor base. Note the relationship of the offset in the drive dog to the distributor rotor when you do this. In the base plate of the distributor there is a serated washer which keeps the seal in place. A few gentle taps on the inside edge of the serated washer will remove it from the housing. The seal come out easily with a few taps of the screwdriver. Re-installation is the reverse of above. Match up the serations in the washer with the serations in the distributor base. The part number for the wire hold down in the distributor is Volvo #1346794. The part number for the wire connector for the Hall effect switch is Volvo #1346793. As I wrote before, do a search in the archives under Distributor Oil Leaks. The article you want was posted by Jim on Monday, 26 June, 2000. I doesn't make sense for me to plagarize Jim's article when it is there to access. As I stated in the last post, a good alternative is the complete distributor base plate with new Hall sensor, wires, wire connector, and seal. Often the black wire connector for the Hall effect has disintergrated from time and heat, and the wires are just hanging from the distributor. This is a great place for an intermittant ignition fault, just ask me how I know. So be sure the Hall effect wire connector is in good shape if you choose to just replace the oil seal.
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