Ford Repair Questions? Ask a Mechanic for Answers ASAP
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It is very possible that the oxygen sensor is bad and needs to be replaced. The sensor is located on the passenger side of the motor.
The code you have could also be a vacuum leak somewhere on the top of the motor letting unmetered air to enter and this will throw off the air/fuel ratios. I would inspect all the vacuum hoses, pcv lines and if possible use a scan tool to check the fuel trims.