Leaking oil nozzle

I recently replaced the stator shaft seal and the oil nozzle o-ring and the oil o-ring is now leaking as bad if not worse than before. Chacal is sending a replacement seal and hopefully that will solve the problem. Is there any special way the oil nozzle is supposed to be seated. Mine looks perfectly fine and the opening it goes into looks perfect. However, even with the first o-ring Chacal sent me the oil nozzle seems to sit in place loosely and doesn't seem to snap or pop into any position.

 

It should be a snug fit, with the o-ring providing the snugness. Without the o-ring it will be a slip-fit, much like the fork tubes are. You may need to do a thorough cleaning and use a bearing retaining compound to snug it all up and prevent leaks if the new-new o-ring isn't providing a seal.

 

This is the first time it has ever been removed so it's clean and has no damage. What is bearing retaining compound? I was going to ask about some high temp silicone. Chacal has a new o-ring on the way and hopefully it will be a better fit.

 

http://na.henkel-adhesives.com/industrial/retaining-compounds-industrial-maintenance-22943.htm