John Deere Oil Heads: Broken Stud Repair (A, B, G, H, etc.) 

I mean, I have never heard of just condensation doing that. The water would have to be mixed in the oil and there would have to be a considerable amount, though I suppose it's not out of the question. I think the first thing that would break is the oil pump since that is in the bottom and the water would settle there.

@DanielFarmChannel this tractor sat for at least 30 years outdoors. It is possible that the crankcase had a lot of water in it. I will remove the case cover and look deeper into it.

@johndeere-yk6db time like that is never kind to a tractor, not in wet environments at least. My B sat outside for decades and it was a mess. I saved it but only when I was too far in realized it wasn't worth saving. Good luck

My only thought is that it would affect the oil pressure if some of the oil was leaking out through that interface. If you have good oil pressure I would think you are ok.