Autometer 2267. Adapts 1/8 NPT sensors to the M14 x 1.5 threads of the oil drain. Ebay, amazon, wherever has them the cheapest. The one review on Amazon is mine and I suggest you read it. Cliff's: it works but the washer placement has to be "just so."

I can post a couple once I find my camera. You can get away with drilling & tapping the pan itself if you don't want to weld on a bung, but I wouldn't drill the pan with it still on the motor. Reason being, the pan (at least the 01 pan) has some baffling fins in the bottom of the sump. If you drilled it blind, there's a chance you could drill directly or sideways into one of the fins and wind up with a hole that would be a PITA to tap and could cause issues with the fit of the sensor.

 

I bought the VDO sensor properly sized for the drain. No adaptor required. I'm travelling for work now but I can look for the catalog link if there's interest. But you guys are smart, I bet you could find it yourselves.

 

Bump for a useful pic for those who stumble across this thread by searching. (I know I did but didn't see any pics).

Here is fitment with a 1/8npt oil drain adapter and an AEM 1/8 npt temperature sensor. It sits just high enough to not bottom out on the ground and gave me good readings.

 

Kudos, quite pro.

 

This is an Auto Meter 1/8" sensor. Maybe this gives a good idea about placement. For you greasy bit guys if you need a measurement PM me. the car's on stands so...easy

 

Pretty much the exact place I put mine, though I used an 1/8-BSP sensor from a Saturn, mainly because it was like $7 new at O'Reilly.

 

I have my oil temp sensor in the same position, but found that during highway driving the temperature reads 10 degrees celsius lower than the real value.
I stopped on a highway parking and saw the temperature rise quickly during idling. I guess this is due to the cooling effect of the wind.
Not sure if this effect would be less with a more expensive sensor. Because now this is not helpful for me.