Oil soaked plugs means oil is entering the combustion chamber.

Piston rings or cylinder walls are worm?
Excessive clearance in the valve stem guides, or badly worn valve stem seals?
PCV valve is plugged or inoperative?

 

In the pictures it looks like the oil was pooling around the bottom of the coil packs and around the crush washers on the plugs which would indicate the worn o-rings.

Could you clarify as to weather or not the electrode that sits in the combustion chamber had oil on it?

 

yes there was oil on the end of the coil packs.

Also. when i upgraded to test pipes a few years ago I had issues with the pcv valve not working and had alot of oil in my plenum. I added an oil catch can and as you can see there was alot of residue but it was relatively dry now and I just cleaned it out.

 

Yeah I've got the same problem and will have to do something about the leak. The new part is a $200 valve cover. IMO, that's a rip... the valve cover is a composite plastic with three cheap seals pressed in. My seal broke without ever being removed. And hearing others with the same problem suggests a design flaw but what can you do?

Rant over... I guess I have to pay $200 for a valve cover seal. Wheww, Good times!

 

It is pretty common issue with early years z. Even mine had oil on plugs.

Before you buy valve covers, you can clean them out and check few months later. When I found out, I cleaned them out, drove 5k milies untill replace valve covers, it looked clean at that time when I replaced them.(many milies on used valve covers, no oil so far) Common issue, imo there is no reason to pay for new. There is no ggranteee that neww ones will hold longer milies than used.

 

Well being unemployed i couldn't consider 200 each new and if you buy used how due you know it wasnt leaking? I went with liquid (ultra grey by permatex) gasket to reseal tubes and new gasket on cover. I had a 3000gt and that was recommended from dealer to seal oil pan. Its very thick and sensor safe made for high temp.due some research i found articles here. I only have 1000 miles since fix and seems good no leaks. I'm even boosted. Be very careful with the plastic cover they are fragile. good luck

 

^i do remember there couple of members done it. If you don't mine could you post picture of product?

Edit: sorry my phone won't let me get on google.

 

You can see the grey on (1st photo) around the tubes..I also used a small dab in corner of valve cover with new gasket (2nd photo).work quickley and be careful.Do each valve cover 1 at a time.
I also took this time to spray valve covers.

Here is the liquid gasket i used every one probably has there favorite.
Dont for get the longer you let this cure for the better chance it will take i waited 2 days before i started it up

 

there is a seller on ebay that pulls apart z and g engines and sells valve covers for 70$. I am trying that route. didn't really want to spend 200$+ on a new valve cover :[

make sure you get a new gasket if you replace the valve cover.

 

Thanks for picture. I keep my eyes on it for future.