G'day Jurgens,
You have certainly thrown up a conundrum here!
I was about to suggest that you get it running to help you diagnose what is wrong with it, until I read your post again; however; I think making it driveable is still the best thing to do.
Once it is moving under its own power you will be able to assess: oil leaks; drivetrain backlash; brakes; strange noises; gearboxes, etc. From there you can work out a plan of attack.
Alternatively; you could do what I am doing to my S3 (which has the objective of spending as little as possible to make it safe and legal) and change all of the seals in the drivetrain; repair any rust; thoroughly clean the machine; squirt or brush Penetrol everywhere; get the engine running and then road-test it. I expect then to have to go back over some components to fix things.
It all depends on how much money you want to throw at it of course. If you "don't want to do things twice" then you might need to consider stripping the entire machine and thoroughly assessing and rebuilding everything; however; even that does not always achieve your goal. Recently I noticed an oil leak from my S1 relay, which was completely rebuilt properly and has sat still in the shed ever since. I put it down to an el-cheapo seal that has perished
Good luck with the restoration,
Cheers Charlie


 
						
					 
					
					 
				
				
				
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