CH
I think you'll find it's a simple case of too much oil in the pan to start with.
I've made this mistake a couple of times and it just crucifies consistency and flavour, also it's not easy to rectify. I find that the spices won't cook properly in too much oil.
Removing the oil after it separates and then reducing doesn't seem to work either, just no flavour.
Maybe this is your answer, good luck