Yes it's between engine and tranny. I started it up today, let it warm up and at idle, you can see air bubbles blowing through the seal.. I am sure it is probably worse at higher engine rpms.
2016 F80 M3 BSM with Black interior DCT/Driver Assistance/Executive/LEDs/Adaptive/Black Wheels
2014 F32 435i xDrive AW/CR
2014 F25 X3 M-Sport Carbon Black
2011 e92 335is 2007 X3 122k miles 2006 e90 330i 132k miles