Cracked 1.8 Case? or Casting Line?
 

1974 914 1.8 case. Looks like a crack between lifter bores. No cracks in the lifter bores. Is this a known problem and can it be fixed by welding? (Its the case that has the oil cooler on it). I know the pics are not the greatest.

http://forums.pelicanparts.com/uploa...1393881633.jpg
http://forums.pelicanparts.com/uploa...1393881661.jpg
http://forums.pelicanparts.com/uploa...1393881680.jpg

Sorry I don't have a case apart to check but it looks like a casting flash,if there no cracking in the lifter bore I wouldn't worry,you could always buy a crack test kit to confirm it to be on the safe side.
If it was a vw type one case I would be more cautious,I used to always crack test them before they went to the engine shop for a linebore,the T4 case is way stronger besides.

It's hard to see, but it looks like a crack to me. Too jagged to be casting flash.

Also, is it just between those two? If it were a split in the casting it is likely that the casting would be split between all lifter bores, not just that set.

I would suggest finding a place to do a dye penetrant test on the are in question. It should be smoothed as best as possible and fully degreased to check for a crack. If the crack goes into the case internals it may not be worth saving as welding a case would involve heat treating and stress relieving along with the welding.