Get a large mixing bowl, one that's big enough to hold all the pretzels with some room to stir. Pour the entire bag of pretzel twists into the bowl. You might have a few crumbs at the bottom of the bag, and you can include those too. They'll still get coated and baked. Having the pretzels in a large bowl gives you room to work and makes stirring easier.
This is the crucial step where the method matters. Slowly drizzle the 1/8 cup of oil over the pretzels while stirring gently with a spoon or spatula. You're not dumping it all in at once. You're drizzling it gradually and stirring as you go. This distribution means the oil gets spread evenly throughout all the pretzels instead of pooling in globs. After you've drizzled all the oil, continue stirring for another minute or so until every pretzel has been lightly coated with oil. The pretzels should look slightly shiny and glistening, but not wet or heavily oiled. This is the foundation that makes everything work.
In a small bowl, mix together the 1/3 cup of sugar and 2 teaspoons of cinnamon. Stir it together with a spoon until it's well combined and the cinnamon is evenly distributed throughout the sugar. There shouldn't be any pockets of pure cinnamon or pure sugar. You want an even mixture. This might take 30 seconds of stirring. It's a quick step but important for getting the flavor distributed evenly later.
Now comes the second crucial step. Sprinkle the cinnamon sugar mixture over the lightly oiled pretzels. Do this gradually, sprinkling from different angles to distribute it evenly. Avoid dumping it all in one spot. You want the cinnamon sugar to land on as many pretzels as possible. After you've sprinkled all the cinnamon sugar, stir gently but thoroughly. You want to coat each pretzel with some of the cinnamon sugar mixture. This should take a couple of minutes of gentle stirring to ensure even coating. The oil helps the cinnamon sugar adhere to the pretzels without creating globs.
Spread the coated pretzels evenly on one or two baking sheets in a single layer. Try to distribute them so they're not piled up too thick in any one spot. Some cinnamon sugar will probably still be in the bottom of the bowl. You can either shake it out over the pretzels on the baking sheets, or just leave it. The pretzels already have coating, and the extra sugar in the bowl is optional.
Preheat your oven to 300 degrees Fahrenheit. Once it's preheated, place the baking sheets in the oven. Bake for 30-40 minutes total, stirring the pretzels every 10 minutes. Yes, you have to stir them. This prevents them from burning on the bottom and ensures even baking throughout. At the 10-minute mark, pull out the sheets, give the pretzels a good stir from bottom to top, and return to the oven. Do this again at 20 minutes and 30 minutes. Check them at 30 minutes. If they look golden and the cinnamon sugar is starting to caramelize slightly, they're probably done. If they still look pale, give them another 5-10 minutes. You're looking for the cinnamon sugar to be dried and set, not wet or sticky.
Remove the baking sheets from the oven and let the pretzels cool completely on the sheets. This is important because they'll continue to set as they cool, and the cinnamon sugar will harden slightly. If you transfer them to a container while they're still warm, they'll release steam and get soft and sticky. Give them at least 20-30 minutes to cool completely before serving or storing. Once completely cooled, they'll have that satisfying crispiness that makes them so good.
Once cooled, serve them immediately or store in an airtight container. These are best eaten fresh or within a few days, while they still have that crispiness.