Nothing could be easier and more delicious. I have saved these, at room temperature, for two years. As for preserving in oil, you need to be very careful as oil creates an anaerobic environment without a low enough pH to prevent the growth of botulism. If you are determined to use oil, I would make small quantities, store it in the fridge, and use it quickly. You can improve your shelf life by first drying the chiles and then crushing them. Take the crushed chiles and any other flavors you would like to use (fermented black beans, sesame oil, cumin seed, fenugreek, etc.) and heat them to about 200-225 F in your oil for about 15 minutes or so. I would still store this in the fridge.
Good luck.

From: T. Matthew Evans
Posted By: T. Matthew Evans, Via: Chile Head Mailing List
Post Date: ???