From the point of view of how we manage our time, which is unrelentingly finite, I don't find oil a practical seal for the traffic and spills of the kitchen area, unless you enjoy constantly tending something, cleaning and re-oiling regularly. Timber floor finishes have changed a lot in recent years. Polyurethane gives timber a distinctly tan/orange colour. Water based seals are a bit more expensive but far more durable in low sheen than polyurethane, and doesn't add that orange tint. If you wet a piece of your timber you will see a similar effect to water-based seal - it intensifies the marks, grains, tones and colour differences somewhat - just like wetting a dry rock or shell intensifies the marks and colours briefly. You can experiment on a piece of your flooring first before making a decision. Good luck with the results - I too think your flooring has great potential.

yes yes it's spotted gum lol...I haven't even been upstairs yet to see it as there are still no stairs..and I'm too afraid of heights to climb a ladder...so only seen it in photos :) Walls to be Natural White

Did you decide which timber to use. Carpet squares work well just make sure the over locked edge isn't too tight as it will cause the carpet to curl up, you can also use sisal the same way which you can take outside and hose down. With your table and chairs on timber it's all a bit timber and would be an idea to just keep the two carver chairs at the end of the table and introduce some other chairs to soften the setting, could also be better chairs for little ones to sit in.

I have a 1940s home with Tasmanian Oak floorboards that looked very similar to yours when sanded. We put a clear coat of satin polyurethane and they came up so much darker, more a hazelnut toffee colour! so hope you can achieve the look you're after, it'll look great!