Thalassa Expects Fiscal Year Revenue To Exceed $1.3M Vs Earlier Estimate Of $1 Million

Thalassa Holdings Limited (THAL.LN), a holding company with a focus on Marine Seismic operations, Thursday said revenue from operations for the full year 2011 is now expected to exceed $1.3 million versus the figure of $1 million previously announced, and added that it is not aware of any reasons for the recent sharp decline in the company's share price, which has occurred on extremely low trading volumes of the company's shares.

MAIN FACTS:

-Board believes that the company's outlook is extremely positive.

-Net Income for the full year 2011 is expected to exceed $210,000 versus $145,000 previously announced.

-Operating profits before depreciation for the full year 2011 are expected to exceed $560,000 versus $400,000 indicated in the company's September announcement.

-North Sea seismic contract with BP (BP.LN) continues to provide clarity of revenue stream over the next two years.

-Third Life of Field Seismic survey over the Valhall field in the North Sea has now successfully been completed.

-Recent deployment of components of the company's Portable Modular Source System (PMSS) for ION Geophysical Corporation (IO) in the Arctic has been completed and it is anticipated that, when final figures are agreed, it will generate higher revenue and operating profit than originally budgeted and may also lead to repeat business.

-Board has identified a significant acquisition opportunity which it believes would materially enhance Thalassa's operational capabilities.

-Company is currently in advanced negotiations and, whilst the outcome is not guaranteed, the Board expects to announce full details before the end of the year.

-Shares at 1446 GMT flat at 19.75 pence.

-By Tapan Panchal, Dow Jones Newswires. Tel [phone], [e-mail]