I found an oil leak at the turbo, it seems to pool on the turbo pipe...see pic 1. I also so found a not so good looking hose...see pic 2. Could this be causing the leak? If it is, what is the name of this hose or its purpose so I can get a replacement BEFORE I take it apart...LOL

 

i would say remove the hose and replace with a normal good hose, thats nothing special there.

as for the first pic, im not sure where that is coming from exactly (i dont own a turbo 850, sorry)

 

Picture one:
This is the intake to the Turbo. The oil you see is coming from your PCV system, it accumilates over time and will seep through. If you are seeing an excessive amount then you may have a blow by problem.

Picture two:
This is the return line for the coolant and does not contain oil.

 

I did my PCV system couple of weeks ago. I cleaned the oil area off last Sat, and took those pics last night. there was only a little drop of oil on the curved pipe (where it looks brownish in Pic 1). will keep an eye on it weekly to see if more oil turns up.