New 850 Turbo Owner - Lots of issues, need help

[fzr1483]

New to the forum and first time owner of a Volvo.  Just picked up a 1995 850 Turbo wagon for $800.  That price of course came with a lot of mechanical issues.  I got so much valuable information about these cars pre-purchase from this forum so I thought I'd post my question.  The car has unknown mileage because the speedo gear broke.  Odometer is stuck at 123k mi.

The PCV system is blocked.  Using the latex glove on the oil cap trick, there is definitely positive pressure instead of vacuum.  There is no smoke from the dip stick though.  Looking inside the oil filler cap and at oil on the dipstick, it looks pretty clean.  I'm planning on replacing the PCV system and will get a better idea of whether or not to pull the oil pan.

The car drips oil on the right side of the engine.  After washing that side of the engine with the timing belt cover off, the cams and tensioners were covered in oil after a 15 minute test drive.  The majority of the oil seems to be toward the rear of the engine, over the CV boot.  Based on what I've researched, I'm thinking it's the front cam seals.  What other seals should I take a closer look at on that side?  With the unknown mileage and the owner stating they don't know when the timing belt was changed, I plan on replacing the belts, pulleys and water pump.  That said, let me know what other components I should inspect while I have all that disassembled.

Now the spark plugs had serious oil sludge on top of them.  There was also some oil under the spark plug cover on the head.  Are there any problem areas I should inspect for the source of the oil?

Also here are the results from my compression test.  I think I saw somewhere that factory spec on the turbo is 160-180 psi?  The wet test leads me to believe that the piston rings are worn.  What's has me a bit confused though is that exhaust doesn't smoke.  Plugged PCV and potentially bad rings.  Shouldn't I see some symptoms?  My other question is how bad are the dry test compression readings?  Is this maintenance I can defer or do I need to take care of it asap?

Cyl    Dry   Wet
1       130   180
2       145   170
3       145   165
4       140   170
5       120   145

Also, does anyone see potential head gasket leak with these results?  The reason I ask is because the coolant overflow bottle has a dark brown stains inside.  But the coolant itself is clear (or greenish rather).  I tried to gauge if the coolant level rises after driving, but it's over filled as is (1/4 in above max line), so I will drain some coolant and try again.
 

[TryingBe]

With the PCV system clogged, oil can be forced out of the seals.

I'd replace the PCV system first, then replace the front crank seal, both cam seals, timing belt/waterpump/tensioner/idler. Use only Volvo or OEM for seals. Compression numbers are ok, not great, but ok.

[gdog]

Welcome to VS!

Sounds like the PCV has been clogged for some time; hence the leaks from all available orifices.. 

If it runs decent, I would not be too concerned about the low compression numbers as yet. 

1. Fix the PCV asap, that's the first priority.  Then get good clean oil in there (w/new filter of course; MANN is OEM and very good).  Why are you considering pulling the oil pan?
2. Cam seals; do them all while you're at it.  If you're gonna do the timing belt, that would be a good time to do the cam seals.  Ck you RMS (rear main seal) too, but that's a different job.
3. Do a cold pressure test on the cooling system; that should tell you if you have head gasket issue.
4. Add some cleaner (marvel mystery oil or equivalent) to the oil and gas.  Hopefully your rings will free up a bit and give you better compression.

If an engine OH is a show-stopper for you, then I would stop there (even hold off on the timing belt if you want).  FWIW these are awesome cars once the maintenance items are up to snuff, and fun to drive..  what color?

Good luck!