That immersion appears to have a separate Hi limit stat attached to the Immersion boss?, Are they still making Immersions with this set up, most of the new ones seem to have it incorporated in the control stat?.
If you gently probe the pocket with an absorbsent probe to clear any water, and it re-appears then you need to replace the whole assembly, draining the cylinder.
That's good for the element itself; do you also have continuity through the removed thermostat terminals and no reading between thermostat terminals and brass body?
If you gently probe the pocket with an absorbsent probe to clear any water, and it re-appears then you need to replace the whole assembly, draining the cylinder.
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