[tylernt]

Just out of curiosity why do you not think it could be the valve cover gasket?

Yeah, I would have said valve cover gasket.

 

[tylernt]

You are kidding, right? I had the idea that replacing a cylinder head gasket was one of the most involved single jobs you can perform on such a vehicle.

I think we've got a wire crossed.

The valve cover gasket (green) seals the valve cover to the cylinder head. This area houses the valvetrain and is (relatively) easily accessed to do valve adjustments or to replace the gasket.

The head gasket (red) joins the cylinder head to the engine block. It is a (somewhat) major operation to replace.

Sometimes head gaskets do weep oil, but usually when they blow, they blow in a big way (loss of compression, loss of coolant if watercooled, etc). Looking at the spread of oil, I still think it's the valve cover.

 

[tylernt]

I'm not sure, but it looks like it, yes. If you look at the "CYLINDER HEAD COVER" diagram from BikeBandit:

http://www.bikebandit.com/houseofmotorcycles/honda-motorcycle-vt500c-shadow-1983/o/m9690

they seem to be the most likely candidate. If you're going to snug them up, you may want to loosen, then tighten them, just in case they're already too tight so you don't strip them.