UPDATE 1-ION sues WesternGeco for patent infringement

* Says WesternGeco's Q-Marine system infringes patent

* Says WesternGeco breached confidentiality agreement

June 22 (Reuters) - ION Geophysical Corp (IO.N) said it filed a patent infringement lawsuit against privately held WesternGeco LLC over technology related to steering devices and control systems for marine seismic streamers.

The company, which provides seismic data-acquisition imaging services, said WesternGeco's Q-Marine system, components and technology infringe its patent.

ION said WesternGeco also breached a confidentiality agreement between the two companies and interfered with its customer contracts.

"ION is asking the court to enjoin WesternGeco from making, selling, or using its Q-Marine system and components and any other infringing products, as well as for monetary damages," the company said in a statement.

The company said it filed the lawsuit after attempts to negotiate a licensing arrangement with WesternGeco were unsuccessful and WesternGeco filed a pre-emptive patent infringement lawsuit against it.

"ION is also asserting that the lawsuit against it by WesternGeco is an illegal attempt to restrict competition in the market for marine seismic surveys," the company said.

Shares of ION closed at $2.78 Friday on the New York Stock Exchange.

For the alerts, please double click [ID:nWNAS6856] (Reporting by Arup Roychoudhury in Bangalore; Editing by Anne Pallivathuckal) (arup.roychoudhury@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: arup.roychoudhury.reuters.com@reuters.net))