Oban is a resort town within the Argyll and Bute council area of Scotland. Despite its small size, it is the largest town between Helensburgh and Fort William. During the tourist season, the town can have a temporary population of up to over 24,000 people. Oban occupies a setting in the Firth of Lorn. The bay forms a near perfect horseshoe, protected by the island of Kerrera; and beyond Kerrera, the Isle of Mull. To the north, is the long low island of Lismore and the mountains of Morvern and Ardgour.

Argyll and Bute is one of 32 unitary council areas in Scotland and a lieutenancy area. The current lord-lieutenant for Argyll and Bute is Jane Margaret MacLeod. The administrative centre for the council area is in Lochgilphead at Kilmory Castle, a 19th-century Gothic Revival building and estate. The current council leader is Robin Currie, a councillor for Kintyre and the Islands.