Seismic data are obtained for each seismic source activation in a marine streamer and for each frequency, after being transformed to a spectral domain. An iterative conjugate gradient scheme, using a physically-based preconditioner, is applied to the transformed seismic data, to provide a least squares solution to a normal set of equations for a deghosting system of equations. The solution is inverse-transformed back to a space-time domain to provide deghosted seismic data.