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The Sakurajima Update brought plenty of fresh additions to Palworld, and Crude Oil might be the most useful of the bunch. This dark, sticky resource feeds into late-game ammunition and a couple of critical alloys, so knowing where to pull it from is worth a short detour from your usual Pal-catching routine.
Crude Oil only spawns on Sakurajima Island, the volcanic region added in the recent expansion. Scan the ground for dark, oily patches scattered across the central, northern, and eastern parts of the map.

The map below pins the confirmed nodes, so you can plant a base near a cluster instead of jogging across the island every time you need a top-up.

One quick heads-up: despite the on-the-nose name, the Oil Rig stronghold does not actually contain any oil patches. Skip it if you came strictly for the resource.
You can only collect oil with a Crude Oil Extractor, which unlocks at Technology Level 50 and costs 250x Pal Metal Ingot plus 50x Circuit Board to craft.

The Extractor is a structure, so it has to sit inside a Pal Box's range. In practice, that means dropping a small base right next to an oil patch before you can pull anything out of the ground.
The Extractor will not run without electricity. A nearby Large Generator handles the wiring, but it still needs Pals to keep the current flowing. Assign Electric-type Pals with Generating Electricity Level 3 or higher, such as Orserk, and the Extractor will hum along without much supervision.
If you have not reached Tech Level 50 yet, there is a slower workaround: knock out certain wild Pals on Sakurajima Island. Kikits and Sootseers both drop Crude Oil when defeated, which is enough to cover early experiments with the new recipes even if it will not keep an ammo stockpile happy long-term.


Crude Oil is an endgame crafting material aimed mostly at ammunition. The recipes that consume it are:
It also feeds into Plasteel, another late-game material crafted at the Electric Furnace. Each batch costs 5x Crude Oil, 5x Paldium Fragment, and 10x Ore, which gives Crude Oil a second job inside the same crafting tree it already helps fill.
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