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so it looks like the seal is bad where the trans meets the transfer case, 4 spd manual with a 302 on my 86 fyi....before i get into it i want to see whats ahead of me before i start, looks failry easy just some work involved
Seal or gasket. Where is it leaking? My T-19 had a paper gasket between the two. I suppose if that's your problem then you would just remove the drive shafts, drop the T-case and replace it. The T-case is one of the easier "big" things to remove.
Is the liquid coming out reddish or dark? If it's red in color, it's ATF from the TC, if dark, it's gear oil from the trans.
If it's just the gasket between the trans and TC, then you just need to drop the TC and clean both surfaces, then either use a gasket or silicone to seal it up.
While you have the TC out, you might check the trans rear seal, and TC front seal (if equipped), as it's the perfect time to replace if they look like they need it.