This too
volvoforums.com/forum/volvo-s40-11/2003-s40-vvt-cam-seal-replacement-65973/
We just fixed the leaking VVT mechanism on a 2000 V40 w/turbo. In the picture above in this article it shows a little pin under the outer attached timing gear. This is where our leak was. This is very easy to fix if you can just take the three bolts with the funny heads out. Make sure you mark your belt to both pulleys timing marks. We used white out. Bring both to the top cover timing reference mark. Also scratch mark the the outer gear to the VVT mechanism. Work the timing belt off both pulleys a little at a time. We used vice grips to take out the three bolts. It would be nice to have the correct socket to remove them. Used a sharp wrap with a hammer to break loose on the vice grip handle.
Once the gear is off check the little button and it will feel loose and probably your major leak. When the engine is running you will see oil flinging off this gear. Under the button is a spring. Don't loose it but leave it in. Pull the botton out and you will find an hardened and brittle bubber ring that is difficult to get off. We used a thin tipped needle nose pliers to pinch it off. Volvo does not have the o-ring, but thay have plenty of VVT pulleys. For about 89 cents, at ACE hardware we found an o-ring that fit tight to the the inner diameter and a little larger than the outer diameter. We had to force it in it was so tight. Then install the belt by putting around the gears and try to install the bolts working and rotating the cams. You can clean some of the oil off with brake cleaner. This will save $213 for a new pully and the jobe of getting the timing back.
Any other way is a great deal more work and you need a tool to hold both cams in position from the other end. With all the over engineering on this you would think they would have put a timing pin or key to the inner mechanism of the pulley to the cam shaft.
