[Joemm]

It sounds like your car is possibly running rich.

There could be several reasons but agreed to check the obvious first, air filter, clean the MAF (with the proper cleaner), etc.

A second check is a cylinder balance test. With the engine running, temporarily remove one plug wire at a time (easiest from the coil) and listen to the engine and, if possible, observe change in RPM. A similar change should occur when each wire is disconnected. If one or more cylinders = no or little change (compared to the others), you've nailed a problem to that cylinder(s). Again, plug, wire, coil, valves, piston rings, gasket (vacuum leak) could all be the culprit. Oh yea, use insulated pliers when doing this.

If the above check out OK and the car runs poorly or gas mileage is poor, have it diagnosed by a professional instead of just guessing and replacing parts. Again, injectors, sensors (HEGO/O2 sensor common problem on all cars especially over 50-60 K miles) etc. could be a problem.

Water vapor condensing to liquid water in the exhaust is normal and common on ALL cars not just Cougars or older vehicles.

Finally, agreed that even small amounts of oil would burn and exit the exhaust as blue-white smoke; not as a liquid. If there was that much oil dumping into the cylinders, your car would not or would barely run.