At first everything is normal, water temp climbs pretty quickly to 90C. After a little while there it drops in the space of 30 seconds to just over 60C, like the thermostat opens and gets stuck. It stays there pretty much sometimes a little higher sometimes a little lower. Give it the beans and it will rise. At some point during the drive oil was 90C, water around 65 and I pulled away full throttle in 1st, 2nd, 3rd. That was enough to boost water to 75C and after a minute or 2 oil had also crept up to 100C (all from just 1 little sprint) but water temp started to drop again while parked.
The fan runs continuously while the engine is running. One side of the radiator is hot to touch, the other side is ouch nearly burnt myself hot to touch. But temp on the dash is around 65.
Any ideas? I find it strange how quickly oil temp will rise, though water stays much colder...though the radiator is pretty hot and the fan stays on.

Actually the very first time I drove the car home the w-temp also dropped steeply after reaching 90C....but after a few miles recovered within seconds back to 90. That did not happen today, stuck at 60-65 even standing still it slowly drops.