Originally Posted by ala_xfire

Tear down WOULD be the recommended course of action, but I have been told by some of our local farmers/ranchers that have had water damage that they just drain all the oil, put a new filter on and fill it up with kerosene.
Run it until it comes up to temp ( smokes like a b*tch ), drain it again, another new filter, kerosene again until up to temp, then drain, filter and new oil. 'They' say it's good as new again.
Not saying to do this, it's just what I've heard around the cracker barrel at the local farmers exchange.

NOTE: if you have milky oil, better have a look at the transmission and differential too .....