uh, i think it is leading from the large o-ring that is inside the rear diff'. There is a main o ring that is supposed to create a seal between the two halves of the rear diff assembly. It seems oil is leaking from this spot as I can see it leaking onto the outside of the gear teeth. It makes a huge mess as it gets all over the belts and such.
thanks, I may go to the hardware store, ..they have a ton of o rings. Will just look for one that is a tad thicker w/ the same OD. I think that is the issue, the supplied o ring is just a tad too small ...or if they made that channel that the o ring sits in not so deep then I could get a better seal.