strange thing is that the reserve tank is full even though I saw at
least half a litre leak from under the engine bay kinda on the right
side.

Saw some spattering around near the thermostat housing near the engine
block, but was too dark to locate the exact leak. I basically, filled
the radiator top with about 2 litres of distilled water, and drove it
about 10km home without the temperature gauge going above normal
operating levels.

So what could be happening here? Reserve tank is still full, so it
must be leaking from the engine block?

If anyone's seen this before, please let me know. GEeeez, I wonder
what I'm gonna be in for....

Thanks in advance,
Kev

NB I've also notice a burning smell when I'm in the car and the car's
been stopped a while at the lights, same smell as really hot brake
pads, I wonder if it could be something else under the bonnet.

Also, the ground connection from the -ve terminal of my battery has
been eaten away by the battery corrosion... how bad is it to drive
without a ground to the body of the car?