Good Evening. Unfortunately this is not an uncommon thing to happen when people change engines in those cars. What happens is on your original engine in the oil pan at the bottom is the oil sensor mainly to tell you when it gets low of course, and on the replacement engine there is no sensor or even the hole for it and they leave it disconnected since there is no way to put the sensor in without changing out the oil pan to the original type. The only thing you could do in the meantime would be to get under the car more on the passenger side and find the disconnected wires and put a jumper wire between the two, only as long as you keep checking your oil because I would hate to think you have a leak and the light even though it does not work is helping you keep track of your oil level. I hope this sheds some light on the matter and if you have any more questions please feel free to ask.
You can remove the instrument cluster and remove the light bulb.
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