J. P. Morgan to Advise Benton on Financing

Benton Oil & Gas Co., an Oxnard-based energy concern, said it hired Wall Street firm J.P. Morgan to act as financial adviser in Benton’s search for $200 million in financing for its Russian joint venture.

Benton, with two Russian partners, is producing about 1,000 barrels of oil a day from the North Gubkinskoye Field in West Siberia, which has estimated reserves of 312 million barrels of oil and 2 trillion cubic feet of gas. Benton has a 34% interest in the venture.

J. P. Morgan will assist Benton in approaching financial institutions and export finance agencies, advise the company on the most beneficial financing package and help negotiate terms, Benton said.

Financing proceeds would pay for further development of the Siberian oil field, including the drilling of more wells, construction of permanent production facilities and a 40-mile natural gas transmission line, Benton said.

Separately, Benton said that its stock has begun trading on the NASDAQ National Market System and that its 8% convertible subordinated debentures have begun trading on the NASDAQ Small-Cap Market.