I noticed that is leaking from in between the rear rotor housing and the rear housing? Will i need to rebuild, that's what my gut feeling is telling me.

 

T2 engine?
have you ruled out the oil pedestal O rings yet?
if not then inspect for a crack at that dowel landing.IF it is cracked then you can bet that it will need a replacement rear iron.

 

It is a T2 engine.

I ruled it out, because i wiped it down and to me it seems 100% sure coming from the side of the engine. I will take another check because i have never seen a rotary engine leak from the side like that.

Could you point out what is that you are referring to for the dowel landing? Thank you for your input.

 

post #3 in this link:
https://www.rx7club.com/2nd-generati...sings-1004741/

 

Pictures of a cracked dowel landing here:
https://www.rx7club.com/1st-generati...r-iron-688972/

 

there is also the crankcase vent off the center iron that pisses oil onto the rear top of the engine in that area. but if it's venting that much then you still have some things to worry about.

 

I am going to clean the area better to make sure that's what it is and i will post the pics again.

 

I had a leak there.It was a cracked rear iron dowel landing.
Hard to really pinpoint.I resealed every part I could...o rings,temp and oil senders,etc..still dribble,dribble.
Until the engine finally went Kablooey.It was then I got to look at the crack of the rear dowel landing and honestly It would have never got fixed anyways without replacing the whole iron.