Rig something up over the tank to condense the steam and allow it to drop back into the tank.Something with lots of fins.It wont catch everything but will slow down the water loss abit. As for oil on top of the water,i boiled up a filter bag to clean it the other day and had a layer of oil on the surface.When i moved some of the oil out of the way i got a face full of steam.That oil was a very effective insulator.
LOTS of fins... A 55 gallon drum lid is 22" in diameter and has about 380 SQ/IN of surface area. At 200 plus degrees, the evap carries away 8-10 times more heat than that same 380SQ/IN radiates. If you inhibit the evap, you need to replace it with the equivalent radiant surface area or 380 X 8 or 10 = 3040-3800 SQ/IN... If you don't put enough surface area into whatever you cover the drum with, the vapor will not re-condense(without forced air circulation) as the surface will be heat saturated because it is receiving far more energy than it can radiate.
The soda bottle over the lid mentioned earlier is a "heat pipe" which is a very effective thermal transfer device. The vapor rises up the pipe away from the source, just like in thermosiphon and transfers it's energy to the skin and recondenses the vapor into liquid which runs down the wall of the pipe. They use these on the Alaskan pipeline(with Amonia) to keep the tundra frozen beneath the heated pipeline. The new type vacume and glass tube solar collectors also use this principal to transfer heat collected to the water circulated in the header pipe. Water doesn't actually flow down into each collector tube. They use a dry socket with a heat sync compound which allows a single tube to be removed and replaced without having to drain the system.
A 2" diameter pipe 50" long has 314 SQ/IN of surface area not including the end cap. 11 of these pipes would equal the surface area on top of a drum + the 8x multiple to make up for the loss of evaporation. A 22" drum lid could easilly support 12-15, even 20 2" tubes spaced evenly around the top to act as heat pipes and still leave a good portion of the original 380 SQ/IN of drum top surface area, which you aren't really loosing as it is equaled by the top caps on the 2" tubes. This would transfer/remove the heat from the drum thru evaporation, but recycle the water back into the drum. You have an expansion tank plummed into the system below the water level of the drum to allow for expansion, but not allow any vapor to escape. This tank would also allow you to monitor the level in the drum without removing the lid. Of course your cooler is now nearly 7' tall, but it will have the same equivelent dissipation capacity as a 55 gallon drum with the lid removed for evap... Would kinda look like this only with twice as many longer tubes on top.
Ron