Place water in large crockery or plastic bowl. Sprinkle yeast over water; mix. Add sugar, then salt, milk, and oil; mix well. Add flour, ½ cup at a time, and beat till smooth.
Cover with a clean dishtowel or plate, and place in a draft free place. Let set 4-6 hours or overnight.
Beat egg in small bowl. Add egg and soda to batter; mix well. Preheat girddle over moderate heat. Pour about ¼ cup batter on girddle for each pancake. Allow plenty of space between pancakes, then spread each until about 4 inches across.Cook until bubbles form on surface and underside is brown. Turn, and brown the other sides.
Remove from griddle; keep warm while cooking the rest of the pancakes. Serve hot with butter, fresh fruit, and syrup.