Underneath the earth there can be random layers of rock that water doesnt seep through, which are called aquitards and the water that sits in the sand above it is called the aquifer. So the Oasis likely forms from rainfall (or a pre-existing underground river) that didnt seep super far because conveniently below is a rock form in a shape that can hold ground water high enough to make it accessible to vegetation above.
Source: My GEO 101 exam is this week so I mean I could be wrong
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