Suzuki actually used a product very similar to what you're talking about Kentetsu. They added it directly to their rotary bikes right off the line. We use the exact same product you speak of to any RE5 we service at RotaryRecycle. The graphite consistency also serves as a lubricant for the waterpump shaft, but that's just a pro for the RE5. I understand there may be some cons but if it is used as directed then there shouldn't be any issue. The motors that are torn down and have what looks like Goop Slime in it are probably from previous owners who used the product in excess.
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1993 Yamaha GTS1000
1992 Celica Turbo AllTrac
1987 RX7 Sport
1979 Yamaha G1, KM24 powered
1975 Dolmar KMS4
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