Yeah, I've seen oil in the water and often accompanied by water in the oil (white foam).  Always a head gasket where both galleries pass by each other.

However, I don't think oil will solidify at normal temperatures - else we would really be in trouble with engine oil. Having said that I have no idea what oil in the water will do but can't think what harm it could do.

[Asterix]

I wouldn't be worried about a little oil on the inside of the water reservoir, but offcourse there should not be oil floating around in the water..

It is extremely difficult to clean the system totally for the oil. You might want to change the coolant in the near future, if a little oil is observed in the reservoir.

[Asterix]

Regarding the invoice.

When I worked as a service manager at a VW/Skoda dealer 5 years ago, we allways had to go through the invoice line by line with the costumer.

The invoice contained lines with the work done, and lines with parts used.

When service was a part of the work, a copy of the mechanic's checklist was in the car.

[Phil №❶]

Oil / Coolant / Heat Cycles / Cool Cycles / Time = Sludge 

[Dazzler]

Thanks everyone for your replies! I checked the coolant yesterday, and i would say that they did not flush the system - there is new coolant in there, only just above the 'low' level, complete with thick oily line at that level, so there is obviously still oil in the system...i have been told by friends 'a bit' is normal, but this seems like a fair amount. So maybe that's why Melville Hyundai wouldn't say if it had been done - because it wasn't. Anyway, don't want to keep whinging! 
I rang Hyundai customer care today and got a sympathetic ear at least - awaiting a reply from their local rep....
thanks again for your comments and support! 

No worries at all Sandy .. I would take a photo of that and keep pushing their buttons (you have every right to complain, hopefully you will get some free service vouchers - but I would use them at a different dealer)

If it were me I would be insisting on a full coolant system clean and fresh refill (although I can't really see too much of a problem as long as the gasket has been fixed properly)

[kabukiman]

Yes, it was the gasket - which as you say does happen in older cars, but since my car is only 7 months old it is a worry. More than that I can't tell, as when I finally got the car back on Tuesday, the dealer refused to provide a list of what work had been done on my car. When I asked if the cooling system had been flushed (since there was oil through it), they wouldn't even tell me that. This whole episode has been so frustrating and really put me off my car   
Will have to try again to call Hyundai - due to work i keep missing their 8 - 4 EST hours 

I would have been irate being treated like that.  That reminds me of Ford dealers...

Tell them to f**k themselves, politely, and that you are going to another dealer.  Or contact the dealer principle and demand a list of the work done, and if they hadn't done what you wanted, for them to do it properly.  If you get mad at the right people things start moving

[kabukiman]

Regarding the invoice.

When I worked as a service manager at a VW/Skoda dealer 5 years ago, we allways had to go through the invoice line by line with the costumer.

The invoice contained lines with the work done, and lines with parts used.

When service was a part of the work, a copy of the mechanic's checklist was in the car.

that's good service.

One of my dad's cars is a lexus.  He's had it for ages, but he still gets a big written report from whoever worked on the car detailing what work was done, what fluids were used, measurements for wheel alignment (what kind of regular customer even needs these?) new measurements of things that were adjusted etc, and they go through it with you when you pick up your car.  They also leave chocolates on the passenger seat!

At ford they'd hand me a grubby piece of paper with only half the work on it, spelled incorrectly, covered in greasey fingerprints and smelling like arsecrack.  I'd query certain things on it and they'd just shrug and walk off.

[Doggie 1]

There should be zero oil in the cooling system IMO.

[Phil №❶]

This is Hy's problem to sort really, but if it were my car, I'd be putting in some "soluble oil" which combines normally with water and coolant. Then run it for a few days followed by a power flush and then new coolant. I think the existing oil should be removed by this process.

[Sandy]

Hopefully things are finally sorted with this saga, took 4 days for Hyundai to get back to me, and said Melville Hyundai's refusal to provide me with paperwork was an 'administrative error'. Took the car back and had the coolant reservoir cleaned out and received a printout of what had been replaced.  Drove 300kms on the weekend and can see a thin line of oil in the reservoir again... guess i will just have to keep an eye on it. Thanks everyone for your help!

[Dazzler]

No worries Sandy, just put all your correspondence some where safe 

[asathorny]

You have had extremely shoddy treatment, solicitors letter maybe.  Threaten to have the coolant system properly flushed to remove the contaminant oil and send the bill to them maybe ????     

Maybe Hyundai Aus will offer some practical help.

Whatever happens I am sorry you've had such a horrible deal  <sigh>