We present a detailed optical and X-ray study of the 2013 outburst of the Small Magellanic Cloud Be/X-ray binary SXP 7.92, as well as an overview of the last 18 years of observations from OGLE, RXTE, Chandra and XMM-Newton. We revise the position of this source to RA(J2000)=00:57:58.4, Dec(J2000)=-72:22:29.5 with a 1σ uncertainty of 1.5 , correcting the previously reported position by Coe et al. (2009) by more than 20 arcminutes. We identify and spectrally classify the correct counterpart as a B1Ve star. The optical spectrum is distinguished by an uncharacteristically deep narrow Balmer series, with the Hα line in particular having a distinctive shell profile, i.e. a deep absorption core embedded in an emission line. We interpret this as evidence that we are viewing the system edge on and are seeing self obscuration of the circumstellar disc. We derive an optical period for the system of 40.0±0.3 days, which we interpret as the orbital period, and present several mechanisms to describe the X-ray/Optical behaviour in the recent outburst, in particular the "flares" and "dips" seen in the optical light curve, including a transient accretion disc and an elongated precessing disc.