Heat 1 ¼ cups of the water until boiling. In the bowl of a stand mixer combine the oats and the boiling water. Stir together and add the two tablespoons of butter. Let stand for 15 minutes until the oats have absorbed all the water and are softened.
While the oats are soaking, activate the yeast. Heat the remaining ½ cup water to between 105℉ and 115℉. Add a pinch of sugar and the active dry yeast. Stir briefly and then set aside for the yeast to activate. When the yeast is bubbly and risen, after about 5 minutes, proceed with the recipe.
When the oats have finished soaking, add the molasses to the mixer and stir together. Add the activated yeast, flour, and salt. Mix, using the dough hook, until the dough starts to come together. Scrape down the sides occasionally to encourage the dough to come together. If the dough is too sticky and sticks to the side without forming a ball, then add a bit more flour a tablespoon at a time.
Continue mixing with a dough hook for about 10 minutes until the dough is soft and stretchy. Take the dough out and lightly knead a couple of times on the counter to bring it together into a smooth ball. Transfer the dough to a greased bowl. Drizzle a little oil on top and rub it all over the dough. Cover with cling film or a tea towel and then set in a warm place to rise for 1 hour.
Spray two loaf pans with non-stick spray. Add oats to the loaf pans, shaking so they cover the bottom and sides of the pan. Set aside.
Punch down the dough and divide in half. Shape each piece of dough into a loaf shape by pressing them down into a flat oval shape, rolling them up, and tucking the ends underneath. Place each loaf in the loaf pans. Cover with a tea towel and let rise in a warm place for 30 minutes.
Preheat the oven to 350℉. Whisk the egg to make an egg wash. Brush the egg wash over the tops of each loaf. Scatter more oats on top of the loaves. Bake for 25 to 30 minutes until the bread is fully baked. Let cool for 5 to 10 minutes and then turn the bread out onto a rack to cool completely. Enjoy!