This video details the procedure to reset the Oil and/or Inspection lights on a BMW E39. The procedure is the same for any BMW with Low OBC (E39, E46, E53, E38), and is similar for cars with High OBC.
E39Source WEBSITE: http://www.E39Source.com
BMW M3Source: http://www.youtube.com/E65Source
BMW E46Source: https://www.youtube.com/user/E46Source