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OK - pic time:
Seems that there was a bit of orange silicon hanging down from above the filter which has caught the gasket.
This was the piece of silicon:
This is the dent in the gasket it has made - turned the gasket over so hopefully it should seal:
This is before a wipe with a rag - you can see the orange silicon which has been used on the plate above - must have been hanging down from there.
This is after a wipe down.
So, while i did clean the area up properly before i installed a new filter, i didnt see the piece of silicon hanging down from above.
Considering this is a PITA area to get to, let alone see, and a wipe down with a rag wouldnt have got the piece of silicon anyway as it was just hanging from above, im lucky that that is all the trouble was.
Thankfully there are no cracks or damage to anything on the block.
Thanks for all the assistance and suggestions - appreciate it.
BTW, my 92 GQ TB42E uses the Z9 filter where as the TB42s uses the Z170 which was around $25 or so.
The Z9 is bigger so should offer more filtration surface at the very least.