That's not good

So I go to drain the oil on the Black Jag and I know that the engine block has a hole in the side of it and that it has seized up, but when I took the drain plug out the stuff that came out was yellow. Now I'm thinking that I don't remember there being new oil in this car. As a matter of fact I remember it being quite black. Then I start to notice that the bit that got on my hand does not feel like oil and that is when I start seeing a black streak in the yellow. A little bit later I think that the cooling system finally finished draining and the oil started to drain. I was well aware that the engine was no good, but I mean that is really no good.