A fluid activated shaft bulkhead seal system includes an annular carrier fixed with respect to a bulkhead and about a shaft extending through the bulkhead and the annular carrier. The annular carrier supports a pair of lip seals each of which defines an outwardly facing pocket and a lip portion spaced from the shaft and a portion abutting the carrier. A foam body is disposed in the pocket of each lip seal. Each foam body includes a gel material configured to expand in the presence of fluid urging the lip portions of the lip seals into contact with the shaft to seal the annular carrier with respect to the shaft. An annular retainer is mated to each side of the annular carrier for retaining the foam body in the pocket of each lip seal.