The wonderful chiaroscuro is a joy to behold with the light appearing to come from the left. It was painted during his Seville period.
But what is she doing?
She is making huevos fritos con puntilla. These are eggs fried in hot olive oil where the oil is flicked around the edge of the egg to achieve a delicate lacey frill like that of a traje de Sevillana.
The evidence is the hot oil that she should be flicking over the edges of the egg whites with her wooden spoon. This is a reasonably high-risk procedure with the chance of hot droplets of oil splashing all over. Her right sleeve covers her hand to protect it but not her left. Most importantly, since this procedure can easily make the egg whites overcooked without the yolk having set, she seems instructing the boy to add a slug of olive oil to the earthenware cooking pot to cool down the oil.
She seems to be about to speak to him but his interest seems to have wandered. He just wants his abuela to make the damned eggs, and enough with the instruction already.
The eternal drama of youth and old age captured in a succint way!