Could the smoke be coming from the exhaust manifold on the passenger side of the engine? When the valve cover starts to leak, it is common for the oil to leak down and burn on the outside of the exhaust manifold.
Replacing a valve cover gasket is not difficult or expensive, and it is common for BMW valve cover gaskets to get brittle and shrink and start leaking every 10 years or so. My wife's 330 needed a new valve cover gasket at 6 years.
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