Water in oil or condensation? Do I have problem?

[2738]

96' Volvo Penta 4.3gl/sx.....Great and even compression in all cylinders. Engine looks brand new. I bought on used boat which obviously has had little use and is in great shape. After taking out noticed small amount of white lithium greae looking stuff inside the oil fill cap and is visible down inside on rockers etc. Oil on dipstick looks perfect and level is not changing. Dealer assured me is condensation and will go away when engine gets good and warm. Am I being told the truth????

 

[snapperbait]

Re: Water in oil or condensation? Do I have problem?

Is the dealer telling the truth? Maybe yes, maybe no.. Condensation certainly is a possibility, but so is reversion...<br /><br /> Reversion info <br /><br />I would go ahead and run it to see if there are any changes but keep a real close eye on the oil by checking the dipstick every so often for any signs of milky oil... If it does burn off I would go ahead and change the oil and filter anyway to be on the safe side...