Oates drifted on to the wrong side of the road, forcing three oncoming cars to move as far left as possible to avoid impact.
Her car hit the driver's side of the second vehicle, sending it spinning.
Oates did not stop and continued driving, followed by a member of the public who gave directions to police.
When she was stopped in Mosgiel, Oates was extremely intoxicated, slurring her speech and unsteady on her feet.
No one was injured in the crash but Oates' vehicle, and the vehicle she struck both had extensive damage.
Oates was initially abusive and blamed the crash on the other driver.
Judge Crosbie said Oates had two previous drink-driving convictions.
Counsel David McCaskill told the court Oates had arranged to undertake an eight-week course with the Community Alcohol and Drug Service.
She was remanded on bail for sentence next month.