Beat sugars and butter at medium speed with an electric mixer until blended. Add oil, and beat until blended. Add eggs, 1 at a time, beating just until yellow disappears.
Combine flour, baking powder, and salt; add to butter mixture alternately with milk, beginning and ending with flour mixture. Beat at low speed just until blended after each addition. Stir in vanilla extract. Pour batter into a greased and floured 10-inch tube pan.
Bake at 325° for 1 hour and 20 minutes or until a wooden pick inserted in center comes out clean. Cool in pan on wire rack 10 minutes; remove from pan, and cool on wire rack. Drizzle with Caramel Frosting.