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98 355F1 OIL IN WATER .FOUND HEAT EXCHANGER BAD REPLACED ,NOW WHITE SMOKE OUT EXHAUST HEAVY.
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I've always been told:

Black sooty smoke - fuel system: running rich (too much fuel being delivered to the combustion chamber) - exhaust smoke smells like gasoline - deposits on the exhaust tips after the tips have been allowed to cool usually black and feels like graphite when rubbed between the fingers ... slick, but not oily.

Blue/gray smoke - oil being burned in the combustion chamber. Usually caused by broken rings, worn rings or valve stems. Exhaust smoke smells like burned oil ... deposits on the exhaust tips after the tips have been allowed to cool usually gray to black and feels oily and wet when rubbed between the fingers.

White smoke - burning anti-freeze in the combustion chamber. Usually caused by a bad head gasket ... rarely by a cracked head near a water jacket proximate to the combustion chamber. Exhaust smoke smell slightly sweet with glycol anti-freeze ... deposits on the exhaust tips after the tips have been allowed to cool usually gray to white may feel wet or chaulky when rubbed between the fingers.

I have a question as I am unfamiliar with the specific mechanics of the 355 F1 ... is the heat exchanger the same as the water radiator? If so, was the vehicle running hot? What other work was done at the time that the "heat exchanger" was changed?

Keep us posted

Best wishes
 

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confused 206 is right. Sounds like you have a bad head gasket. It usually happens from the car overheating or running too hot. You can pull your spark plugs and see which cylinder the leak is occurring. The plug(s) that have the leak will be discolored and have a build up on them. They won't be that hard to spot from the others. That will tell you which cylinder head is bad.
 

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Yes, does sound like a head-sealing problem, esp with the "oil in water" symptom. I don't know of any heat exchanger either apart from the normal radiator (which IS a heat exchanger in the proper technical sense).

Are you still getting oil or gases in the water? Losing water (blowing it out and /or "burning" it)?
 
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