I think that your problem might be the Retention value on the Security eventlog. I don't have a Server 2012 machine to test with so I used a Win10 Pro VM.
If I set the log to "Overwrite events as needed", the retention value is 0. If I set it to "Archive the log when full" it got set to 0xffffffff.
Run regedit and set Retention to 0 in both:
HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Services\EventLog\Security
HKEY_LOCAL_MACHINE\SOFTWARE\Policies\Microsoft\Windows\EventLog\Security
Try to start the eventlog service. If it won't start then reboot.
When it comes back up, set the retention to "Archive the log when full" and then examine the value in HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Services\EventLog\Security
If it's 0x00ffffff then you've still got some other problem. If it's 0xffffffff then tell your AD administrator that his policy is bad and to remove that Retention setting. It may be that older versions like Server2003 or 32 bit Server versions used 0x00ffffff