Oil in the coolant is usually due to a leaking head gasket. That is pretty academic now that your timing chain has broken as there is a fair chance that one or more valves will have sustained damage. If this is the case the cylinder head will need to be removed, overhauled and reinstalled with a new head gasket fitted. Inspection will also be required to ensure damage has not occured to the pistons, cylinder walls, camshaft or other components due to the broken chain.
107.023: 350SLC, 3-speed auto, icon gold, parchment MBtex (sold 2012 after 29 years ownership).
107.026: 500SLC, 4-speed auto, thistle green, green velour.
124.090: 300TE, 4-speed auto, arctic white, cream-beige MBtex.
201.028: 190E 2.3 Sportline, 5-speed manual, arctic white, blue leather.
201.028: 190E 2.3, 4-speed auto, blue-black, grey MBtex.
201.034: 190E 2.3-16, 5-speed manual, blue-black, black leather.