I have a 2004 MK6 Transit which runs at half temperature on the dial. The needle went to 3/4 so I pulled over and checked the expansion tank to find no water but full of oil and the engine had no oil on the dip stick.
I replaced the Oil Cooler, replaced oil filter, filled with 8 litres of oil and started flushing out the water pipes. The oil was only on minimum on the dip stick so I went to get more. The system still had a little oil in the water but was nearly all drained. I have drove it for just over 25 miles with heaters on hot to circulate and try clean all the pipes. I got back from a 25 mile drive and drained and refilled the water pipes again then took it a mile up the road and drained it again but this time instead of the water coming out the radiator being nearly clear it was the colour of a milky drinking chocolate (photo below)
I have added an extra 5 litres of oil and its now showing full on the dip stick. The oil has clearly gone straight in to the water again.
Is this is a head gasket problem or something less severe?