Oil Refineries are machines used to convert oil into fuel. Oil can be pumped into the machine using waterproof pipes or be placed inside with buckets. Fuel produced by the machine must be pumped out with a powered wooden waterproof pipe. The conversion rate of oil to fuel is 1:1, however considerably more energy can be extracted from fuel so refining is highly recommended.
A refinery has three small internal tanks: the rear two are for oil and hold up to 8 buckets; the front one is for fuel (the output of the refinery) and holds up to 4 buckets. Occasionally you may find water in the back tanks if your pump has drawn in water. This will stop the refinery working, and it will need to be picked up and replaced wasting any stored fuel.
Simply connecting two tanks to the output of your pump, and putting one bucket of water into one tank and oil in the other will cause unwanted water to be removed into the tank. Pump the oil from the oil tank into the refinery with a Redstone Engine and wooden waterproof pipe.
Breaking a refinery with your hands will destroy it. Use a stone pickaxe or better to get it back.
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