Yeah, oracle can be nasty with PHP... its far less friendly to use than MySQL... not to mention its much slower.
Having an "undefined" for a function, means the PHP isnt compiled with "--with-oci" or "--with-oracle". Or the extension module isnt loaded in the php.ini. However since this is on a win32 OS... I am not entirely sure how you would recompile the binaries to include oci to PHP... so extensions is the only way.
On one of the servers I have worked on thats winNT with oracle and PHP... I could only get the oracle extensions working (not oci) using this line in the php.ini:
extension=php_oracle.dll
The extension for php_oci8.dll has always given me troubles (never working right, throwing errors). However with the php_oracle.dll extension, all oracle database calls have worked fine. You just have to use the ORACLE functions in PHP, not the "oci" functions.
Van is right that you dont need the directory path, only the location of the dll, as your php SHOULD be installed properly to know where the 'extensions dir' is.