if I'm understanding you correct, you are replaceing the lower seal in the upper unit of a mercruisers outdrive(MC1, MR1, ALhps 1 gen 1). If so, you don't have to remove the water tube cover(you usually break the screws offf). The very bottom seal(of the upper unit) usually comes out with a seal puller or a curver hook type tool. But thats not the seal that holds the lube in, its only there to hold grease up in the splines(only place you'll see two seals facing the same way in a mercruiser), teh seal under the driven gear must be installed by removing the gear set, which requires dissasembling the upper unit
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