Oil company beginning to explore Alabama location (6)
I believe the answer is:
mobile
'location' is the definition.
(Mobile is an example)
I don't understand how the rest of the clue works.
Can you help me to learn more?
(Other definitions for mobile that I've seen before include "For European this is a handy" , "US city" , "Able to move easily and quickly" , "Movable, phone say" , "Free to move" .)