You could put a coalescing oil filter on the outlet. That should take care of the oil. Probably won't find one really cheap tho. Your compressor should work for a temporary setup, but I wouldn't go full time with it.
I am trying to come up with a tank rig for my application. The compressor search is ongoing, but may have narrowed it down to a Gast model. Need to talk to the egg heads at Gast so I don't blow the thing up on the first spin
