BPOS, I know what you mean.
I tried a cam change on a ZZ4, just taking off the timing cover, and trying to get the front part of the pan gasket to seal....it also leaked...badly...
I ended pulling the motor, and doing it right, replacing the pan gasket.
About the sealer, just use a small dab of Permatex Ultra-black at the timing cover to block joints, and the same amount on the rear cap seams.
This is direct info from a GM tech bulletin.
Don ~ TC Member #15 ~
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Don't mess with Texas!