Gen3 the coolant is drawn from the exhaust side of block immediately after the water pump has pushed it into the block. So coolant will be as cool as anywhere in system. It immediately enters the oil cooler via about a 8-10mm rubber hose and then exits into the same sized stainless steel pipe and is drawn along into suction side of water pump. Lots of coolant volume and flow. Efficient oil cooling.
When cruising at highway speeds, up and down mountains etc, oil temp always remained just 10degrees C above coolant temps. So coolant at say 88. Oil would be 98.
Continuous laps on track coolant would rise to 98 and oil to 108 and then stabilize at that. Quite within the capabilities of good quality synthetic engine oils.
Toyota made many changes on the gen 3 engine.
You probably can't alter where the coolant is drawn from the gen 2 block but it's possible to up the size of the hose and use stainless to prevent rust. You should be able to redo the obstruction of that godawfull flanged joint and 90 degree bend into the oil cooler.
Another significant improvement is to shut off either permanently or with a tap the hose to heater circuit.
This should cause all the suction of the water pump to draw a full flow through the oil cooler circuit.
Once you sit down and know how it actually works you will be able to improve it's ability.
I had one turkey do a "loop the hose trick" in that area and achieved the remarkable result of shutting off the bypass pipe so that the poor unfortunate thermostat had no signal that things were getting warm, warmer, hot, hotter, and bloody hot.