It has oil in the reservior (where the coolant/water stays in, not the radiator), can you help me why that is? Also the car is blowing out smoke, maybe a head gasket or a cracked head? Help please, thank you!

The engine likely overheated, warping the aluminum head. Afterwards, the head gasket blew, causing oil and coolant to mix.

I would tow the car to BMW and have them repair the head, which may need machining. There's a real possibility of valve damage, also.

The cooling problem also needs to be solved. I suspect phosphate scale blocked passages in the radiator, which may need to be replaced. Afterwards, refill with a 50/50 mixture of BMW recommended antifreeze (likely G-05) and distilled water:

https://www.askmehelpdesk.com/cars-t...tml#post235973

So the cycling system is not like the BIG Rigs? Because when the oil cooler goes out, it throws the oil in the radiator and water in the pan.