Saturday, February 24, 2024

Bitcoin Miner CleanSpark Purchases Four Mining Facilities, Set to Double Hash Rate

Author: CoinSense

Bitcoin miner CleanSpark announced in a February 6 press release that it had acquired four new mining facilities three facilities in Mississippi and one facility in Dalton, Georgia.

With these acquisitions, CleanSpark is set to double its hash rate in the first half of 2024, the company noted in the release.

The company has agreed to purchase three “turnkey” sites in Mississippi for $19.8 million in cash, with the transaction closing within 21 days. Following the closing, the company anticipates that these sites will contribute to approximately 14% of its revenue in the near term.

“Turnkey sites” typically refer to properties or projects that are completed and ready for use or operation upon purchase or acquisition.

CleanSpark is also in the process of purchasing a facility in Dalton, Georgia, with an initial cash payment of $3.4 million. An additional investment of $3.5 million is planned to finalize the project by April. This acquisition will extend the company’s Dalton presence, bringing the total number of sites in the area to three.

Hash Rate Boost

CleanSpark believes it will greatly boost its operating hash rate with the acquisitions as well as its forthcoming Sandersville expansion, which is expected to add six EH/s to the company’s hash rate. The company expects to double its hash rate from 10 EH/s to 20 EH/s by the first half of 2024, according to the release.

“Our move into Mississippi is all about growing our operations and diversifying our data center portfolio in a measured way,” CleanSpark CEO Zachary Bradford told CNBC. “Our operations in Georgia have given us significant experience in southeastern power markets.”

“Mississippi is in the same electric reliability region, so we see a lot of synergies there,” he added.

CleanSpark Prepares for Bitcoin Halving

Bradford highlighted in the release that the acquisitions were designed to position CleanSpark for the anticipated Bitcoin halving event scheduled for late April. During this event, the mining reward for a Bitcoin is expected to decrease from 6.25 BTC to 3.125 BTC.

“[The purchases] improve our operating efficiencies as we prepare for the halving,” Bradford said in the announcement.