The boat sat unused for a long time. It then was cleaned up, run for a few hours, and the engine popped (spun a lower rod bearing on cylinder #1). I'm quite sure the slight damage in in the picture is the result of, not the cause of, the spun rod bearing.
The engine is new. I already have new oil pump kits, as the covers were pretty messed up, but the PTO housing is just barely scratched as shown. I guess the real question is how much will this really reduce the oil pressure? I'd guess the noticeable scratch is .004" deep!