Benton Oil Forms Joint Venture With Russians
Benton Oil & Gas Co., an Oxnard energy concern, said it has formed a joint venture with two Russian partners to explore, produce and market oil and natural gas from fields in West Siberia. The joint venture, named Geoilbent, will be based in the town of Tarko-Sale, about 1,500 miles northeast of Moscow.
Benton will own 34% of the venture. The two Russian partners, which are arms of the Russian ministries that regulate natural resources, will each own 33%.
The agreement calls for operations to begin next year with the drilling of wells and installation of production facilities and transmission equipment. The joint venture is expected to produce oil and natural gas liquids, which will be sold abroad for hard currency. Natural gas will also be sold for rubles.
Benton said the venture is subject to regulatory approval, which it expects to receive within two months.
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