NEED HELP !! With 3.0 OMC I/O

Hey guys I'm new to the boating world.
I just boat a boat 2 weeks ago, its a 1987 Bayliner Capri. It has a 3.0 OMC I/O Cobra.
Well I was on the lake today, for the first time, we were driving around for about an hour perfectly fine. Then we were pulling up and put it it neutral and the boat just stopped. Now it wont go into gear or accelerate. The engine WILL rev up, just wont move, or the propeller will not spin either. Also I took over the cover on the outdrive and the upper gears are ground up.( pic attached) There is no fluid where the gears are. is there supposed to be? I'm guessing that's a problem?
Also I went a head and looked for the gears and I found a guy selling and Alpha OutDrive. Will this work in place of mine?
Just looking for advice on how to fix or what could be the problem?
Any help is appreciated!!

Re: NEED HELP !! With 3.0 OMC I/O

Sorry, but the drive is toast. You ran it low on gear oil. You can have the drive rebuilt but it will cost you. Or, you get an aftermarket drive from SEI which will bolt up with a conversion kit that they sell but it will cost around $2k to do it. An Alpa 1 Gen II will bolt up with a conversion kit from SEI for about $350. You can also search for a used or rebuilt Cobra. It depends on how much money you want to sink into that Bayliner which is 25 years old.

In the future don't even think about taking your boat out without first checking the gear oil level. Good luck.

Re: NEED HELP !! With 3.0 OMC I/O

Yea I figured. Thanks for thr input. Could I replace just the gears or no? If so could anyone tell me the gear ratio? (Upper ) and does anyone know what outdrives can replace this one without the need of a conversion kit? Thanks for any help!!

Re: NEED HELP !! With 3.0 OMC I/O

by the way the model # on the outdrive is 985042

Re: NEED HELP !! With 3.0 OMC I/O

Yep, you can replace the gears, if you can find a mechanic with the proper tools to set the gear backlash, etc. It's not a job for a diy'er without the proper tools. And, the grindings may have also damaged the lower half. So you may be lookind at a whole new gearset. IMHO, your best bet would be to do as I described in my first post.

Re: NEED HELP !! With 3.0 OMC I/O

http://www.ebay.com/itm/31039560457...X:IT&_trksid=p3984.m1438.l2649#ht_1095wt_1270

would this work?

Re: NEED HELP !! With 3.0 OMC I/O

You need a complete drive, not just the upper. The upper and lower share gear lube and it circulates. So all that loose metal from the upper is destroying the the gears and bearing in the lower. Which may be what killed the upper to begin with.

You need a complete drive for a 3.0, not a 5.o or anything else, you must have the 3.0 gear ratio.

Your best bet would be to get the SEI conversion kit and the SEI Version of the Alpha I Gen II outdrive and convert it to something that is not obsolete. OMC went out of business in 98.