Sure doesn't sound like the gauge or sender is good, if that is abnormal engine oil temperature. (anyone know what normal is?) Remember, this stuff doesn't get cooled like your radiator fluid, and lubricates better warm. Cold engine oil isn't best. Of course too hot doesn't help either.
However, in a little bit of checking, mobil1 synthetic was the only thing I could find temp specs on. "Mobil 1 Tri-Synthetic Series products protect engines up to 246°C (475°F)."
Thats synthetic...even then, half of that is just under what you are running, if you are in actuality running 250 degrees.
If someone else comes up with "regular" oil temp specs, that would probably be more indicative of how "safe" you are. I can't see any reason how if engine coolant temps are normal, your engine oil temp could be changed one way or the other, besides being routed through a cooler that is too close to exhaust. (headers perhaps?)
Dorian
My tech/links page: <a target="_blank" href=http://www.dorianyeager.com/index2.html>www.dorianyeager.com/index2.html</a>
Why insist on counting when the ring gear has the tooth counts stamped in?