So my 92 LT1 c4 is having a strange issue. When I start the car the oil pressure is normal around 40-45. But once I start driving and giving it gas in any gear it’s pegs to maxed out of the gauge I’m talking 80+ it actually goes past the 80 on the gauge. If I hold in the clutch, stop accelerating, put it in nuetral or come to a stop it goes back down to 40, but even a hair of gas and she’s pegged back to 80+ again. Also I know it has a small rear main seal leak and she smells like burnt oil when I turn it off, assuming the oils hitting the exhaust pipes. Any help would be appreciated.

 

You need to connect an external Oil pressure gauge to the engine.
Check YouTube for instructions where to find the oil port, c4-LT1 or Camaro-LT1.

If the external gauge also shows 80 PSI, then you have a real problem.
Perform an Oil change with a new oil filter (Not FRAM filters!).

If you still see 80 PSI after replacing the oil filter, take the engine to an LT1 engine shop.

If the external oil gauge shows Normal 40 PSI and the Dash oil gauges shows 80, then replace the oil sending unit, located near the oil filter.
Again see YouTube for location of sender unit.


Good luck.