In a large bowl, combine the water and oats; let stand for 30 minutes. Add the molasses, butter and salt. In a small bowl, dissolve yeast in warm water; add to oat mixture. Stir in enough flour to form a soft dough. Stir in raisins and nuts.
Turn onto a lightly floured surface; knead until smooth and elastic, about 8 minutes. Place in a greased bowl, turning once to grease top. Cover and let rise in a warm place until doubled, about 45 minutes.
Punch dough down. Turn out onto a lightly floured surface; divide in half. Shape into two loaves. Place into two greased 5-in. x 3-in. x 2-in. loaf pans. Cover and let rise until doubled, about 30 minutes.
Bake at 375° for 25-30 minutes or until golden brown. Remove from pans to a wire rack to cool.
Editor's Note: The baked bread may be frozen for up to 3 months.