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So, here's the rule text in question....

FUEL: If the attack inflicts 1 point of damage or more, the tank will leak. The maximum fuel capacity is halved, until the damage is repaired. Any fuel currently in the tank in excess of the reduced capacity is immediately lost. Any excess damage continues to hit another component.

My question is can this happen more than once over multiple attacks... causing the tank to hold less and less fuel...
Or is it a simple 1 hit, capacity halved... and the the Fuel Tank result just passes damage through on later attacks.

What do you think?

I'd say it can happen several times, but personally I would cap it to probably 3 consecutive hits since the loss is at some point negligible: i. e. if you start loosing 1/32th etc. of the original amount of fuel, it's more paperwork than milliliters.

Yes, and it's almost always more fun and interesting to make the third hit to the tank ignite some of that fuel, resulting in a fire. Not an all out explosion perhaps but some extra setbacks to manage during the fight. At least in my book.

If it happened again, I'd probably ask an oracle whether it did enough additional damage to lose more fuel.