Oban. The jewel in the starry crown of Argyll and Bute is the picturesque town of Oban, sitting on the dark blue waters of the Firth of Lorn overlooking the Islands of Mull, Kerrera, and Lismore. The name derives from the Gaelic language: An t-Òban, which means the Little Bay; and the harbor is a perfectly sheltered horseshoe inlet.