3Legs Resources is hit by rise in administration bill

OIL and gas group 3Legs Resources – whose non executive chairman is former energy minister Tim Eggars – posted pre-tax losses of £2.3m for the year to the end of December.

For the same period the year before it reported a £2.5m profit.

The company said the loss was triggered by rising administrative expenses associated with its IPO, higher staffing costs incurred as a result of building up the senior management team and exchange losses on the translation of foreign currency cash balances.

Chief executive Peter Clutterbuck said: “The period since 31 December 2010 has seen our group undergo a process of significant change.

“We have now acquired a public listing and raised sufficient funding to enable the group to pursue an active exploration programme over the next 18-24 months, building on our existing achievements.”