Arkon Energy Places Firm Purchase Order for 27,700 New-Generation Mining Machines

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Apr 02, 2024, 09:00 ET

HANNIBAL, Ohio, April 2, 2024 /PRNewswire/ -- Arkon Energy US Holdco LLC ("Arkon" or the "Company") announces that it has placed a firm purchase order with Bitmain Development Pte. Ltd ("Bitmain") to purchase 27,700 new-generation Bitcoin mining machines, or the equivalent of approximately 6 exahashes per second ("EH/s"). The purchase order includes 14,200 T21 machines and 13,500 S21 machines with deliveries to be scheduled beginning in June 2024. The parties intend to negotiate definitive agreements with respect to the purchase order in the coming days.

Since inception, Arkon has been a pure-play hosting provider for Bitcoin mining customers. This machine order marks the beginning of the Company's self-mining operations, and with an aggregate portfolio efficiency of less than 19 joules per terahash ("J/TH"), would enable Arkon to materially pursue its goal to become one of the most efficient Bitcoin mining companies in the industry after the halving event in April.

Founder and Chairman, Josh Payne, stated, "We are very excited to announce the purchase order of 6 EH/s worth of new generation Antminer S21s and T21s from Bitmain. This transaction marks a turning point for Arkon, as we become a vertically integrated operator of both Hosting and Self Mining infrastructure across our portfolio of data centers in Texas and Ohio.

Arkon has spent the last two years consolidating the distressed market for data center assets in some of the lowest-cost power markets in North America. Now we are taking the next step to vertically integrate the business with a purchase of a fleet of new generation miners, aiming to make Arkon one of the most efficient miners in the world."

Arkon currently has 117MW of approved operating capacity across two data centers, including a 95MW flagship facility in Hannibal, Ohio, and a 22MW facility in Hopedale, Ohio. In addition, Arkon has binding agreements securing and entitling it to develop more sites in the United States, which would enable the Company to increase capacity by a further 190MW, bringing its total operating capacity to 307MW subject to successful funding and development of the sites. Arkon has signed a letter of intent to acquire an additional 100MW of further pipeline capacity within its existing Hannibal site.

This agreement with Bitmain comes on the heels of Arkon's recently announced plans to list, through a business combination with BM3EAC Corp., on Euronext Amsterdam, the regulated market operated by Euronext Amsterdam N.V., and part of the largest stock exchange, by market capitalization, in Europe.

SOURCE Arkon Energy