Oil or oil-free air compressor

I have always had oiled belt driven compressors. Break in is the key like Dicer posted. I had a 21 gallon HF compressor never really had a problem except it is loud, got ten years out of it. No idea why yours is spiting oil. I Just replaced it with a husky, yes quieter but longer to build up. Run from the oiless, never had any luck with them