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Is this the '79 we're talking about?
If it's the seal, you should see a line of oil running down from the top of the fork lower (where the seal is) and dripping on the ground. If you don't then it might be either the drain plug or the bolt that attaches to dampener bolt (you have to remove the front wheel as it's located in the bottom of the fork lower).
Check your brake lines! On the '79, there are, like 400 junctions from the brake lever to the caliper. Not 400, but a few flex to steel line junctures. How's the brake feel? Spongy?
Where are the drips forming? Where is the oil actually falling from the bike?
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