I hope this helps you but I had the same issue with my intrepid and only 36,000 miles on it. I had the mechanic do an oil pressure test to make sure that the oil pump is working right. Then I had to install a part from dodge that will fix the issue with the oil light either coming on either all the time or when at idle. My mechnic also replaced my oil sending unit because it was defective. Now I don't have that oil light coming on anymore. Below are the details you'll need and you can get the part at most dealerships Id suspect. If needed you can get the part from weRmopar.com, they seem to be very reputable and give good deals. Good luck and let me know how it whent
SUBJECT: Engine Oil Pressure Light Flicker
This bulletin involves adding a terminal/wire/vent to the oil pressure switch connector.
NOTE: THIS BULLETIN APPLIES TO VEHICLES EQUIPPED WITH A 2.7L ENGINE.
With a hot engine the oil pressure light may be on or flicker on at idle.
Verify engine oil pressure as described on page 9-21 of the 1999 Concorde/Intrepid/LHS/300M service manual. If engine oil pressure is within specification perform the Repair Procedure.
Qty Part No. Description
1 05017800AA Wire Terminal/Vent
Raise vehicle on a suitable hoist.
Remove engine oil pressure switch connector from switch.
Remove sealing dart from the empty cavity at the rear of the connector.
Pull terminal locking ring outward from front (switch) side of connector to gain access to terminal locking tabs.
Install wire terminal/vent, p/n 05017800AA, in place of the removed sealing dart. Slide locking ring back into place.
Attach the connector back on the oil pressure switch.