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Valve seals seal oil from running down from the cylidner head into the combustion chamber. If the valve seals are bad, the oil from the top of the cylinder head will run down through where the stem of the valve goes through. I have always been told that if you get burning oil on startup and it goes away after running for a bit, then it is bad valve seals. I wouldnt consider the smoke coming from the exhaust as "sooty". Not quite sure where you got that from. It seems like more of a mixture of burning oil and fuel. The smoke is black but has that blue tint to it like burning oil. Not alot of buildup on my exhaust tips which makes me think its more oil burning that unburnt fuel coming out.
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