Engine Burning Oil problems of the 2000 Dodge Intrepid

Traveling down I-77 south going through west virginia I smelled burning oil the car lost power then shut off completely pulled off the highway and tried to restart but all it did was click.

The car was a fleet vehicle with documented services completed. I bought the car in may 2003 with approximately 60000 miles on it. Continued with regular oil changes around 3000 miles. When the car reached around 100000 miles the oil light started flicking at low rpms. Even though I had just changed the oil around 1000 miles before. I just figured that the car was burning some oil since it had over 100000 mile on it so I just kept a quart in the trunk and checked the oil level when the light would start flickering and add some oil if it was low. Then coming home from work one evening the car just lost power and the engine light came on. Since the car was still running and I was in traffic I tried to get it to a parking lot when it died at a red light. Got it started and to a parking lot and that was where it expired.

We regularly serviced our car and did not have any problems leading up to our engine failure. After leaving work one evening, I started my car up and it sounded like a muffled motorcycle in the engine. We had just checked the oil level five days prior to the engine going out and the level was fine, but upon checking it that night it read that there was no oil in the car. We took took it to our shop; they recommended that we take it to the dealer. The mechanic at the dealership told us that there was major sludge build up and the oil must be burning internally. Our indicator lights, which work, never even came on to alert us to a problem with the oil or engine, and we never experienced any oil leaking. After them taking it apart to find the problem and putting it back together they said that the timing was off and they could not guarantee how long the car would drive. It cost us $600 and we had to have it towed home because the car would no longer run. It would have cost us another $250 for them to put it back together with not even a day guarantee of running. We opted for the $75 tow. . They told us at the dealership that a used engine would run about $3000/new $6000 or we could trade our car in, which we still owe $9000 on, and they would give us $300 on the trade-in. They said that they could get us a "new" Dodge Intrepid that has the "new" engines in them. The mechanic stated that not only did he have the same car with the same problem (which he got rid of) but that there were two other Intrepids there for servicing with the exact same problem. Obviously, there is problem with these cars. We are now left with trying to buy a used engine or buy a used car. Either way we are left with a hefty note to pay and a car that looks nice but doesn't run.