Right rear axle housing AC-B

Hey everyone. Long time follower but just joined.

I have a question regarding my Allis Chalmers Model B. Today after power washing noticed a nice sized hole on the right side axle housing. It was a little damn with gear oil so I stopped using it and started coming up with solutions.

I will attach pics.

Should I weld some metal plate, use jb weld stick steel or replace the right whole housing. It’s a 1939 so I think it’s got the smooth housing versus later models but not sure. It’s not a restoration piece but I do use it and give my nephews rides around the property.

I will be painting her this winter and cleaning up some metal.

Also any idea how this happened as I have no idea and never seen a hole in any of my housings tractors or classic cars. I noticed small clank on that side today but the tire has large bulge in it and is loaded with antifreezes also. Runs fine and still descent amount of fluid in it.

Thanks
Tory
 

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I’d guess you’ve had a piece of bearing or gear tooth fall on the big gear from above and there wasn’t clearance between it and the case wall
 

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