1981 Evinrude E25RCIM Problems, Problems

[vinmega]

So I got this motor that was built for me by a guy. It runs fine at idle. When you put the cover on it dies.
I also noticed alot of 2 stroke oil on the inside of the motor housing, like it was spitting from below/behind the carb.
It ran for a bit on the water, it had lots of power, but when I put the cover on it dies. Took off the airbox and then tried that way, put the cover on and it dies. It ran a bit, then it died, started right back up in gear, but I am thinking as is this motor is totally unreliable.
Set the rich/lean knob several times, and that makes no difference.
Is it possible I have some type of exhaust leak behind/below the carb? I dont think I should have oil in there.
See pic.
From the front, this is the front left side of the motor, see all the oil in there?

[vinmega]

So I got this motor that was built for me by a guy. It runs fine at idle. When you put the cover on it dies.
I also noticed alot of 2 stroke oil on the inside of the motor housing, like it was spitting from below/behind the carb.
It ran for a bit on the water, it had lots of power, but when I put the cover on it dies. Took off the airbox and then tried that way, put the cover on and it dies. It ran a bit, then it died, started right back up in gear, but I am thinking as is this motor is totally unreliable.
Set the rich/lean knob several times, and that makes no difference.
Is it possible I have some type of exhaust leak behind/below the carb? I dont think I should have oil in there.
See pic.
From the front, this is the front left side of the motor, see all the oil in there?

Here is a youtube link.
http://www.youtube.com/watch?v=Fr1JD...ature=youtu.be

You can hear the motor picks up once the cover is off. Then there is the smoke and oil, it seems like exhaust leak from the front of the powerhead...whats wrong with this one?

[vinmega]

So it seems as if I have a leak from the powerhead gasket. I started it up, and poured some water over the area, I saw air push the water out of the area I poured it on. Seems like an exhaust leak. How difficult is it to remove the powerhead and replace the gasket?
I really like this motor and want to get it going reliably.

[Haffiman]

Just a few nuts and screws. The most 'difficult' one is behind the vertical throttle shaft on port side.
Perhaps an idea to try to get an OEM workshop manual if you plan doing your own repairs in the future.