Is it possible to use the rules for group play?
There are a few different ways to answer this!
As an oracle-making procedure: you could collaboratively work through the process of building the oracle
Using the oracle you’ve made: you could incorporate this into a group game as something that inspires the GM, or as an in-universe thing.
As a lightweight folk-horror game: I don’t see why an experienced GM couldn’t take the details along with an oracle they’ve prepared and run players through an adventure. There are simple mechanics for resolving action but they could also choose to use the mechanics from another game and treat this text as an adventure module.
I’d be interested to hear about experiences of any of the above!