Valve cover is damaged inside

I replaced the valve cover gasket for the car more than one year ago and now the oil literally flows out from the gasket area above the alternator.
It doesn’t flow continuously but once it a while.

There’s nothing looking bad but the area around spark plug is damaged. This baffled me as there appears to be a strong impact on it. What could cause this? Do I need a new valve cover?

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Note: oil coming out together with power steering fluid leaking from the hose, I replaced the o ring, it seems to fix both

It looks like the spark plug hole is eroded away not hammered. The deposits on the inside of the cover indicate high miles and not nearly enough oil changes.

Yes you need a new valve cover. Or at least a better one than this.

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Yes, get a new valve cover.

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Can I use a lots of sealant and drive it in the meantime?

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One way to find out, and it’s not very expensive to try.

Many GM vehicles use sealant as their only gasket from the factory. I think other manufacturers do also.

That is pretty corroded. Normally something you will see with lots of short trips where the condensation doesn’t get fully burned off. In order to use any sealant, that will need to be thoroughly cleaned of any oil residue and loose material. However, bear in mind that the material those existing seals are made from is unlikely to adhere to any kind of RTV type gasket sealers. It can’t hurt to try other than redoing it if it fails. But it must be clean and bone dry before applying any sealant. I would soak that entire casting in my tank but you might get away with something like brake cleaner sprayed in that localized area and scrubbed to clean it…

Yes you can goop it up with Permatex and it wont leak… But a replacement isn’t expensive either.