You've struck oil in Frostpunk 2, but it's not going to do you much good out in the frozen frostland. You'll need to extract the oil (also known as black gold and Texas tea in some parts) and then transfer it to your city. It's not a complicated process but the tool that lets you transfer resources between your colony and your city can be a little hard to spot when there's so many other icons and notifications and UI elements on your screen.
In Frostpunk 2, your starting city isn't your only city. As you explore the frostland outside your borders you'll eventually find oil and other resources. These are usually in settlements where you can set up an automated, one-way supply line back to your city, but some locations are bigger and can be colonized. That means running a generator and building districts, just like you do in your main city, though on a considerably smaller scale.
