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 The stuff Willy is talking about is teh potting material, and it is VERY common for it to come out of teh stator of the 200/225 loopers. And I do mean VERY common. I don't think I've seen one yet more than 3-4 years old without it starting to drip out of it. It's not from overheating, it is just the design of them and the cheap potting material. I've had them on engines that haven't run in years begin to drip just from time, so I wouldn't worry about it. I think I remember asking Willy in one of his other posts if the timing arm was moving because it is a really common problem for this to happen. I think there is some coming out of teh engine I got from Bradford, and that engine doesn't hardly have any run time since he had just replaced that stuff. 
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