I think a faulty sender or a fault in the wiring is a good call.
What I don't like is the Oil Pressure light and the high pitch sound from the engine, though I suspect these are probably just ancellary related.
Were it me, for my own peace of mind, I'd spend a couple bucks and either take it to a mechanic or buy and attach a mechanical Oil Pressure Gauge and take a reading.
You'll need a M14 x 1.5 adapter or Gauge and need to remove a M14 x 1.5 plug (6mm Allen bit) from the 1-3 Cylinder Bank, then screw in the mechanical gauge. While running at idle, look for 1.5 BAR or 21.75PSI. Increase the RPM to 5,000 @ 194°F Oil temp, and you want to see 5BAR or 72.5PSI. This way, you remove any doubt.
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