Gryphon Digital Mining, Inc. (NASDAQ: GRYP) has made a significant move in the world of Bitcoin mining by acquiring operations in Louisiana that boast ultra low-cost electricity at approximately $0.01 per kilowatt hour (kWh). This strategic acquisition, valued at $1.5 million, includes up to 2.9 megawatts (MW) of operational capacity and 59 PH/s of Bitcoin mining equipment.
The company’s CEO, Rob Chang, expressed excitement about the acquisition, stating that it is just the beginning of Gryphon’s plans to tap into over 500 MW of similar low-cost power generation opportunities. By securing this ultra low-cost power asset, Gryphon aims to position itself as a leading low-cost operator in the competitive Bitcoin mining industry.
One of the key aspects of Gryphon’s operations is its commitment to reducing carbon emissions. The company utilizes flare gas, a byproduct of oil extraction that is typically wasted through burning, as an energy source for its mining activities. By repurposing flare gas, Gryphon not only powers its operations but also contributes to environmental sustainability by lowering carbon emissions.
With the acquisition of this ultra low-cost power asset, Gryphon anticipates generating around $1 million in annual revenue. The company sees the potential for increased margins, improved return on investment, and the possibility of offering hosting services or high-performance computing operations in the future.
Overall, Gryphon’s acquisition of these low-cost power mining operations represents a significant step forward in the company’s growth strategy and commitment to sustainability in the Bitcoin mining industry.
