Sangha Renewables, which focuses on bitcoin mining using renewable energy, has started its flagship project for a 19.9 megawatt (MW) bitcoin mine adjacent to a solar power facility in West Texas.
Key Highlights:
- The startup aims to generate $42 million in revenue within its first year and plans to mine approximately 900 bitcoin over the next decade.
- It has successfully raised $14 million towards its $17 million equity goal and aims to commence bitcoin mining by summer.
“We have been extremely pleased with the development so far,” said Spencer Marr, the president of Sangha, in a statement. “We decided to utilize our resources to acquire long-term electrical infrastructure last November, even before finalizing the deal, which has proven worthwhile.”
Sangha’s strategy differentiates itself from traditional miners by collaborating with renewable energy companies, encouraging them to incorporate bitcoin mining into their businesses. This method could help these companies capitalize on excess electricity production during low-demand periods.
Expected to start operations by the end of July, the West Texas facility projects revenues of $42 million in its initial year and will provide electricity at rates between 2.8 cents and 3.2 cents per kilowatt-hour. Thus, investors can secure bitcoin at a 25% to 50% discount.
Marr added, “We’re optimistic about the project’s commissioning this summer and are prepared for any initial adjustments needed.” Furthermore, Sangha aims for its technology to enhance efficiency and profitability in the long run.
