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Is the leak coming from where the axle tube is pressed into the cast steel center? If so, you can weld the center to the tubes with 7018 rod and your arc welder. I had the same problem years ago with an OEM Dana 60 that I was using in my '68 Coronet even though it had a vent. Of course, back then I filled it to the plug level. The last two D60s that I built, I welded the tubes and there is no problem with it other than making sure that the weld area is clean enough...use PB blaster with a small wire brush followed by carb cleaner until it rinses clean. I always thought the centers were cast iron, but they are cast steel and the plug welds that hold the tubes are allowing flex and a direct path for gearlube to weep out. Bulk 7018 is meant to be kept in an oven for industrial use, but you can buy 1# sealed packages of it almost anywhere and if you use it immediately there is no contamination. When building a new D60, weld the tubes first, then narrow and jig it so that the final product is straight all the way.



Great vintage SIR shot Pete!