Its what i am using in my colchester. I asked about which headstock oil to use on the practical machinist forum, and it seems to be fine, its caused me no problems.
Myford recommend Nuto H32 which is the same as Hydraulic oil 32, automatic transmission oil is the same but usually red and is also used in power steering.
After much digging about, you will find eventually that the modern equivalent of the factory recommended oil for the Bantam is ISO AW32, which is usually sold as hydraulic oil. Sounds suspiciously like "Nuto H32" and is available for peanuts (by the gallon) at most auto factors. It's also what they recommend for lubricating the slides, BTW.
Working for a John Deere dealership, I use their Hygard hydraulic and transmission oil in the lathe headstock (Harrison L15) and also in the various gearboxes on the Herbert V47 milling machine. Don't tell anyone, but I use Stihl chainsaw oil on the various slideways.
ATF and Hydraulic 32 are both none frothing oils, I have now retired but worked for 20yrs on mobile hydraulic cranes most used clear hydraulic oil but Liebherr used red ATF or Dextron R.
Stan
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