Either your Water Pump seals have gone or your Head Gasket is leaking or the Head itself has a crack in it. I have also seen the crank seals leaking, being a cause of this. Are you getting excessive white / blue smoke from the exhaust ? Is the bike using water / coolant ? Is the Throttle response poor mid rev range ?
Could be all of the above or one, unfortunately without more info its impossible to diagnose the exact one. But i would defo check out the Head / Head Gasket first, run the bike (10 / 15 mins), drain the oil, check the condition of it. If its still the same, it's more than likely going to be the Water Pump seals.
Hope this helps,
Andy....
whenever water is mixed with oil in a crankcase the heat turns the water into a vapor and this allows oil and water to mix and that is the milky looking substance you see... check for cracks or bad gaskets if the motor is water cooled and buy a dryer agent if it's not... it could be just condensation but enough of that will damage your motor real bad... it lowers the viscosity of the oil and that can lead to big problems!
SAE 10 weight oil
My guess would be that if has gotten moisture in it. Were the oil bottles sealed? Also how old if the oil?
White smoke at startup, loss of anti freeze and milky oil indicates to me a bad head gasket.
racing oil would be the best
It might, or it might turn the coolant white or milky or it can end up being dark brown globs.
Check your coolant. Typically milky oil is a sign of a bad head gasket.
1 quart
Milky anti-freeze is usually an indication that motor oil is getting into the cooling system, probably through a bad head gasket or a cracked block or head.
The boat does still go full throtle
White
Oil is a milky colour and your exhaust is coming out white