While putting a Bravo back on my boat yesterday(upper to bellhousing) I must have used a slightly larger o-ring on the oil transfer, and the compressed energy of the rubber popped the outer edge off (3/32th thick)
Am I the only stupid A** thats done this? should I heli-arc or quick fix? Need some input. Thx.

Maybe others have, but I have not seen this happen before. Can you post a picture of the damage? I think you would get more accurate answers or ideas that way.

ARE YOU SAYING A PIECE OF ALUM. BROKE OFF OF THE EDGE OF THE BELL HOUSING AT THE OIL RESOVOIR O RING? TOWARDS THE INSIDE OF THE HOLE OR TO THE OUTSIDE OF BELL HOUSING. IF IT BROKE YOU WILL HAVE TO WELD AND RE MACHINE FACE FLAT & O -RING GROVE BACK TO SIZE OR IT WILL LEAK.

If just a small piece of the outter lip chipped off with NO damage to the bottom of the groove, it will still seal fine. Any chip out of the groove bottom may be cause for a leak. The o-ring seals from the compression of the 2 flat surfaces do to the depth of the groove being less than the dia of the o-ring. The width of the groove itself is larger than the o-ring to allow for the o-ring room to expand under compression and is not the factor for sealing.
A picture would be best. You may be fine.......or not.