Had about the same thing with a 89 GMC pickup with a 5.7L engine. I put a oil pressure gauge on the oil pressure line and confirmed good pressure. Turned out to be a bad sending unit. I always try to verify the problem first and then take the least expensive and easiest option first. If I had to guess, I would bet it is your oil pickup or oil pump but check the pressure first.
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Today's Featured Article - Restoration Story: Fordson Major - by Anthony West. George bought his Fordson Major from a an implement sale about 18 years ago for £200.00 (UK). There is no known history regarding its origins or what service it had done, but the following work was undertaken alone to bring it up to show standard. From the engine number, it was found that this Major was produced late 1946. It was almost complete but had various parts that would definitely need replacing.
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