The 2.8 Has definite possibilities... Lots of upgrades available , fairly light , fits nicely.
Believe it or not , it is one of the Go To conversions for the MGB. Check there web sites for great info.......
The Jeep (Puget) mated to an ax5 and 231 is a fair jeep power plant. Week ( and I mean very week ) transmition...driver side drop, set up.... Wont fit with out axle conversion........
I'd opt for the 2.8 , Chevy S-10 2wd tranny , Zuke T case .........Boxcar...