Renault Scenic engine - some advice please

[buzzer]

Went to look at a mates 2004 Renault Scenic 1.6 petrol engine today. Seems its suffering a bad oil leak from the cam area... The one cam (the one with the Dephaser on) is worn badly on the end journel, as is the bearing in the head.... I feel this is where the oil leak is coming from...

Any Idea whats caused this. rest of the engine seems fine, as is the other cam and bearings.

It also has Elring seals on the cam shaft, I have not come across these before, they are a lip seal, but no garter spring. you are advised to fit them, and let it stand for 4 hours before turning the engine...

Also, whats the thing in the picture? its activated by a 4 lobe square cam on the camshaft.