Water in the oil and oil in the water sure sounds like a blown head gasket. I'm not familiar with your tractor, so I have no idea if the gasket failure was caused by running it on gasoline (petrol), but my guess is it was just due to go. You do need to get this taken care of quickly, before you end up with a stuck motor.
A cooling system pressure test will confirm the head gasket is bad. You put a pressure tester on the radiator and fire up the motor; if the pressure starts to climbs in a matter of seconds the head gasket is bad. If you don't have access to a cooling system tester, look for air bubbles in the radiator, another head gasket symptom.
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Today's Featured Article - Tractor Profile: Ferguson TO-20 - by Staff. When the infamous "Handshake Agreement" between Henry Ford and Harry Ferguson fell by the wayside (that's a story in itself), Harry Ferguson quickly set up manufacturing plants for a United States version of his English TE-20. The TO-20 was relatively the same as the TE-20 except utilized some different casting materials and had a US-style electrical system. The TO-20 was a dead ringer for the Ford 9N and 2N models and they say that Ferguson did this on purpose when the Handshake Agreement wen
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