Maritime application of synthetic aperture radar (SAR) technology for sea-target surveillance and imaging is considered in this study. A SAR scenario, including the kinematics of a SAR satellite and a ship moving on the sea, along with the geometry of the target, are analytically described. A linear frequency modulation (LFM) waveform is applied for the target’s illumination. Based on the target’s geometry, SAR and target kinematics and the LFM waveform, a SAR signal model is synthesized. It is proven that the process of signal formation is a transformation of the three-dimensional (3D) image into a two-dimensional (2D) signal, whereas the target’s 2D imaging is an inverse transformation of the 2D signal into the target’s 2D image. SAR signal components, linear Fourier terms and higher-order phase terms are analytically derived and discussed in detail. Moreover, it is proven that SAR image reconstruction is a motion-compensation procedure, i.e., it removes all phases induced by first- and higher-order motion. Based on the SAR signal analysis, an illustrative iterative image-reconstruction algorithm is derived. The quality of the imaging is evaluated by an entropy cost function. Simulation experiments are carried out to verify the correctness of the theoretical statements in respect of SAR signal formation and image reconstruction.