My sons 88 740 has started to leak oil from the oil cap. This has started to happen after he topped it up with oil. Is there a breather hole in the cap? Also is there a rubber type seal around the base?
Presuming the oil is coming from around the filler cap..theres usualy a rubber seal around the base, these can become brittle and break,sometimes quite a large piece (1/4 inch) can break off making a fair old leak from the oil splashing around from the cam, replace it with a NEW one, should cure problem
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It's common for that to happen on start up. If you're not getting oil to the top under acceleration then that's of concern. See if you have gunk built up in the head and oil cap. If you do then start with the cheapest fix which would be to have the oil system flushed out with a detergent. If no go there then you probably need to replace the oil pump.
cracked block. once it heats up the crack gets bigger and the oil gets thinner which makes more oil burn. run car without the oil cap on and see if lots of air/ oil comes out if so thats blow by and you need a new engine.
Some VWs have an aluminum housing that oil filter sits in (canister filter) the cap has a seals and an "O" ring at top. If it is overtightened it can crack and it sounds like that's what happened to yours.
good morning and welcome to fixya
you can try a couple of little tricks, try taking the pcv valve out and cleaning it or replacing it. try cleaning the fuel injection and look for carbon build up on or around the egr valve. you can also do a compression check on the engine and take readings see which one has a major loss spray wd-40 in the hole and recheck to see if compression changes, you might be able to fix just that cylinder if you dont want to fix everything else. good luck and let me know