A novel thermoalkaliphilic bacterium, strain Eh-2, was isolated from a hot spring at Lake Shala in Ethiopia. Eh-2 grows optimally at 55°C and pH 7.5-8.9 and can tolerate up to 6% salinity. Based on 16S rRNA sequencing, Eh-2 is most closely related to Natronicola peptidovorans and Anaerovirgula multivorans but differs significantly in physiology. Eh-2 represents a potential new species or genus. Thermostable enzymes from Eh-2 may have industrial applications and it could serve as a model organism for studying life in extreme environments.