I would take off the mod for now, get working in the normal game before you start messing with it.
for an industry to start production it needs a supply of raw materials and transport to a city.
If you only link Oil to an Oil refinery and there is no transport to get the “goods” to a city then it won’t do anything.
The “demand” for goods from the factory directly increases it’s production. The raw materials will then increase their production to meet the factory’s requirements.
Hopefully that makes sense. You should also check out the Guide that was posted here, it has a lot of good information.
http://www.train-fever.com/forums/topic/train-fever-interactive-guide/