Change oil filter use a k&n or mobile one,seen same problem on caravans some oil filters cannot take the pressure and break up inside causeing no flow of oil period.could happen at any time with cheap oil filters,chryslers have high volume oil pumps and require a better flowing filter.
as for your engine not starting you may have severe bearing wear,from low oil pressure.
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the oil pressure sensor tells the ECM when there is insufficient oil pressure to safely run the engine
when you start an engine there is oil covering the pump inlet and the pressure buils up
if there is insufficient oil to maintain pressure ,or the pump cannot maintain a low preset pressure , the ecm will shut the engine down to protect it
like wise if the wiring is loose /faulty the signal from the sensor is interrupted and that tells the ecm to shut the engine down
again if the sensor is faulty , the ecm will shut the engine down
how to fix :-
install a mechanical oil gauge in the system and check for oil pressure achieved
replace the sensor switch with a known good one
run the fault codes
Could have overheated because low on oil, the engine may not start until the computer is reset, a safty feature which keeps the engine from damage in such cases., Take it to a mechanic to reset the computer if you think the oil being low was the main issue.
If the car died and then the oil light came on than that is normal. If you lost oil pressure the light would come on and the engine would continue to run for a little while until it seized up. If this where the case it would have made a lot of noise and you would have felt a gradual loss off power until the engine finally stopped. I suspect the oil light came on after it stalled. If this is the case the first thing to check would be spark or fuel pressure. Crank sensors and fuel pumps are the two most common issues that would cause the engine to stall.
The battery makes no difference. If the oil light came on, then the engine died, the fuel pump lost power because of no oil pressure. You would need to find out if the oil pressure switch is working correctly or not. If the engine died then the warning light came on, the switch did what it is supposed to do and the fact the engine died is caused by something else.
85 with TBI only needs 13lbs of fuel pressure. verify that the fuel filter is clean. there is no easy way to ck fuel pressure, special adapters are needed, I dont have info here at home but there should be a relay for the pump, on the firewall and the oil pressure switch also powers the pump. did you replace the pump trying to fix this problem or did you just mention it to help troubleshoot the problem? verify that the fuel pump wiring has a good ground, should have been a eyelet that bolted to the frame..when you initially turn the key on, you should hera the fuel pump power up for 2 seconds, then go off, after the engine starts, the power for the pump goes through the oil pressure switch.