I'm not sure. It looks like a possible grease-filled die, but all the scratches on the obverse makes me wonder if someone's filed it off. If they scratched it off and the coin then went back into circulation, the scratches would eventually smooth out.
I notice that part of the adjacent 'E' is also a bit weak, so I am leaning towards the opinion that it is a Grease Filled Die error, and not an unrecorded variety.
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