Small Engine Troubleshooting Problems? Ask a Mechanic Now.
The engines crankcase vent exits into the air intake. Is it excessive amount? Is oil level over full? Is oil thin from gas contamination?
There is no reed valve ,just baffle in the rocker cover. How many hours on engine? Is it getting worse?
The reed is the oil baffle for the vent. The dipstick leak is is also caused by the crankcase pressure. Likely just an o'ring there.
Have you tried it with new oil?
Oil out the vent is caused by high crankcase pressure. Which is from worn rings or valve stems.
Which lets the compression enter the crankcase, which shows up as oil out the vent.