I have a 2001 4WD Blazer. It has a leak at the rear of the front transfer case, away from the drive shaft. I noticed it this morning, and it has leaked quite a bit of lubricant. The leak appears to be coming from the rear of the xfer case. Could it be something as simple as a seal failure? I hadn't noticed anything irregular lately. We are in extremely hot weather right now, 102 degrees and above, and it did run a little hot yesterday as I was in some stop and go traffic. Any ideas?

 

It could be a seal failure both of the seals for the shafts on my transfer case have been changed due to failure.