Shares in seismic data company Thalassa jumped on Friday after it said it was investing in new equipment to cope with high demand.
The firm said that in the year to date it had secured $15m of contracted revenues but further growth was being constrained by lack of hardware.
The company is buying two compressor units to go alongside its portable modular source systems, which are used to collect data for petroleum exploration and production.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
"The investment in the two compressor units will expand the group's ability to meet the increased level of interest in its services," it said.
The compressor units, which usually cost around $2m each when new, were being purchased out of internally generated cash, Thalassa said.
It added that the purchase price which was less than half of the cost of a single new unit.
Shares rose 16% following the announcement.
-
8 of the best houses for sale with annexesThe best houses with annexes – from a period property in the Lake District to a 13th-century house with a two-bedroom annexe in Saltwood, Kent
-
Zelenskyy moves to appease Donald Trump – what happens now?Ukraine’s president Volodymyr Zelenskyy is conceding ground to secure the least-worst deal possible, says Emily Hohler
