JRiha
I replaced an 03 1150R that failed completely, and my 02 1150R that was still working ok though would have failed soon. When doing a spline lube I inspected it and found it to be an ugly goopy mess, so it’s amazing it actually worked at all. Fortunately neither soaked the clutch. I drilled weep holes on both transmission housings as Wally mentioned. There is a nice video on YouTube of the procedure being done on a k1200lt, and probably others. Not sure if it was still an issue on the 1200’s, but the hydraulic line was notorious for trapping moisture and rotting out. The fix was to cut some of the sleeping away at the bottom. I had that issue on mine as well, and performed the mod on the replacement line before installation. The 03 was ok, but I trimmed the sleeving as a preventative step. Having said all that, I feel like your cylinder is most likely fine, and am guessing what you see is just some liquid residue that has leached out of grease from the bearing. Likely nothing to be concerned about, but hard to say for sure from a distance.