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What is the benefit of having oil at your base? Is it better to have it at one of your important bases (meaning your repair, etc, etc bases)???

ORIGINAL: ScottyG

What is the benefit of having oil at your base? Is it better to have it at one of your important bases (meaning your repair, etc, etc bases)???

You need oil where you have refineries in order to produce more fuel. So, basically you want the oil at the bases where the refineries are.

You only need the oil bases as the Japanese. If you play Allies I guess one could ship some oil to Australia but otherwise only care about destroying / capturing the IJ oil bases.

ORIGINAL: Alpha77

You only need the oil bases as the Japanese. If you play Allies I guess one could ship some oil to Australia but otherwise only care about destroying / capturing the IJ oil bases.

Or remove as much as you can so it is not left to fuel Japans economy.

I think there is another interesting aspect of oil for the Allies.
Some of the large production of oil at Palembang does find its way to Oosthavan and Benkoelen. Those bases are closer and safer than Palembang to the Australian ports. Stockpiling oil in those two bases might prove to be a decent strategy for the Allies since it would save about a week of travel for convoys. Just an opinion.
WEXF

Osthaven is safer for the Allies to move oil and fuel from. It is better to move the fuel since it can be used immediately whle oil needs processing.

I agree it is always better to concentrate on the fuel.
That being said, getting the oil out of the DEI is a decent objective. Fuel can be taken out on many types of ships but oil can only be handled by tankers, AOs and a few cargo classes that have the capability to handle bulk liquids. You can also use up the fuel in ports by refueling your ships. You can't do anything with oil at Oosterhaven except load it up and take it out or leave it to the Japanese.
WEXF

Then again, if you are able to get a lot of oil and fuel out of the DEI you probably don't need to...

To the OP:

10 oil -> 9 Fuel + 1 Supply
15 Resources -> 1 Supply (Light Industry)
20 Resources + 2 Fuel -> 2 Supply + 2 HI (Heavy Industry)

So you need oil to produce fuel, it is its only purpose
Fuel is used to keep your industry, merchants and navy going

Supply is used to make changes to your industry (as the Japanese Player), to supply your troops and build up your bases and forts. If you want to play a campaign, you need to be first and foremost aware of logistics...

I've been pushed down to the timor islands, everything else is under jap control

I've been pushed down to the timor islands, everything else is under jap control