"DUH" Momment

[Marc]

Sounds like the heater boxes are loaded with oil. The source is usually leaks from pushrod tubes/seals, sometimes oil oozing out along the rocker stud threads. Next stop, into the box, especially if the jacket is rusted/worn through along the top.
Find and cure the leak(s) and Simple Green and pressure-wash the boxes, eventually they'll burn off what's inside now. If you don't want to wait, pull the boxes off and flush them out. Patch any holes.
Exhaust fumes can also be drawn in by the eductor effect caused by the fresh air rushing into the box, especially if the jacket is loose at the rear, near the muffler inlet. Aftermarket boxes are made with shorter jackets to increase the distance from the muffler so they're less prone to this problem. Check the integrity of the heatriser pipe that comes up to the intake preheat passage, too - and for that matter the preheat tube itself. A small hole in one of them may not make much noise but it will let fumes into the heating system, as will crankcase blowby - any fumes in the engine comp't get sucked straight into the fan.

[mountainkowboy]

Yea....I did notice some "holes" in the covers, and some carbon leaking from the muffler. So it will need a new muffle soon and I was going to pull the boxes and see if I could weld up the holes.

The drivers side box isn't dripping any oil anymore.........so maybe the smells will go away soon...........LOL