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Originally Posted by db
First and foremost welcome to  your Bug looks very clean, you should be proud to have this. I own a 73' (been under a blanket for sometime), I suspect this did come off a valve.
Here is every gasket you will find on your engine http://www.germansupply.com/home/cus...cat=297&page=1 you can see there are O-rings...I wouldn't be super worried about it as long as you are not planning super long hauls. If the engine sat for awhile or if they haven't been replaced they probably are dry-rotting.
Best of luck with any mods or enhancements.
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Thanks for your insight. The car did sit for about 5 years of it's life...but that was right before the restoration happened. It's been driven about 15K since then. We don't drive it all that much...only in the summer and even then it seems to be a weekender and an occasional commute to work and back. ...but with the amount of crappy weather we're seeing here this spring...

we've only had it out on the road a hand full of times this year.
I know the germans were known for their engineering...but WTF is up with the oil filtering system? ain't much too it eh?
As far as any enhancements....just going to keep it stock. I have other toys for that.
HB1