Wiring Fun w/oil

I've had an electrical problem for a while - I looked at the connector between the regulator & harness -- melted -- I ordered a new regulator & some wiring harness to replace it - tracing it down -- a second connector was melted.

This made me trace it down to the stator -- it had some oil in it.

Questions:

should I pull the stator & replace the seal to fix the oil leak? this is normal and 'as designed'
Will replacing the connectors & regulator fix the melting? Yes
How tough is it to swap the seal? (do I have to pull the case?) no seal, no.

Thanks -- Please email me at josh at j assing . com (Click on the images for a bigger view in a new window)

Harness to Regulator Connector -- notice the burn marks on the harness sleeve.
Here's the second connector -- notice the bar spots on the wire ends on the left -- these were not stripped but melted off at the 90 degree turn they took into the main harness.... not to mention the melted connector.
Here's a shot of the melted second connector
Oil pooled in the stator
Oil in the stator cover
Finally; the amount of oil that dripped out

This made me trace it down to the stator -- it had some oil in it -- should I pull the stator & replace the seal? Will replacing the connectors fix the melting?

http://www.jassing.com/josh/gix2.htm

Josh Assing