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'06 S60 T5, please help identify leak.

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My car has developed a leak. I have attached a photo and am hoping that I can get so help determining where it is coming from and how serious it is. It appears to be coming from a small vent hole between the engine and the trans. What could cause this. The fluid is very light brown in color, not at all red. This car has 70,600 miles.

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I'd make sure your brake system recalls have been addressed. See below:

Volvo S60 Recalls and TSBs

Brakes: SERVICE BRAKES, HYDRAULIC:FOUNDATION COMPONENTS:MASTER CYLINDER

Campaign Number: 07E023000
Number of Vehicles Affected: 13,128
Model Years Affected: 2001, 2002, 2003, 2004, 2005
Date Owner Notified: 04/2007
Defect Summary: CERTAIN CARDONE MASTER CYLINDERS WITH DATE CODES LOWER THAN DCA7078 SOLD AS REPLACEMENT EQUIPMENT FOR USE ON THE VEHICLES LISTED ABOVE. THE SEAL ON MASTER CYLINDER CAN FAIL AND LEAK BRAKE FLUID.
Consequence Summary: LOSS OF BRAKE FLUID CAN RESULT IN POOR BRAKING PERFORMANCE, POSSIBLY RESULTING IN A VEHICLE CRASH.
Corrective Summary: CARDONE WILL NOTIFY OWNERS AND OFFER TO REPURCHASE ANY DEFECTIVE MASTER CYLINDERS. THE RECALL BEGAN DURING APRIL 2007. OWNERS CAN CONTACT CARDONE AT 1-800-777-4780.
Recall Notes: THIS RECALL ONLY PERTAINS TO AFTERMARKET CARDONE MASTER CYLINDERS AND HAS NO RELATION TO ANY ORIGINAL EQUIPMENT INSTALLED ON THE VEHICLES LISTED ABOVE.CUSTOMERS MAY CONTACT THE NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION'S VEHICLE SAFETY HOTLINE AT 1-888-327-4236 (TTY: 1-800-424-9153); OR GO TO HTTP://WWW.SAFERCAR.GOV.
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