NEW YORK, November 08, 2021 (GLOBE NEWSWIRE) – Stronghold Digital Mining, Inc. (Nasdaq: SDIG) (“Stronghold” or the “Company”) has completed the acquisition of the Panther Creek Power Plant (the “Panther Creek Plant ”) on November 2, 2021. The Panther Creek Plant is an 80 megawatt (MW) coal waste-to-energy facility, located in Pennsylvania, using the same circulating fluidized bed (“ CFB ”) technology as the one of Stronghold currently in service. Brush plant. Stronghold’s management team has extensive operational experience with CFB technology and plans for seamless integration into its existing operations.
The Scrubgrass Mill and the Panther Creek Mill both generate electricity from waste coal, which is a by-product of waste from old coal mining operations. The Commonwealth of Pennsylvania has designated these waste coal facilities as a Tier II alternative energy source, which makes them eligible to earn Renewable Energy Credits (“RECs”) and eases electricity costs among the highest. low for Stronghold in the Bitcoin mining industry.
The Company has also entered into an operation, maintenance and ancillary services agreement (the “Omnibus Services Agreement”) with the seller to provide operation and maintenance services to Stronghold for the previously acquired Scrubgrass plant and the Panther Creek factory. Support services from an experienced operating group are expected to facilitate sustainable uptime and efficiency metrics for Stronghold’s power assets.
In addition to boosting its power generation capacity, the Company continues to expand its Bitcoin mining capacity and recently reached an agreement to acquire 12,000 S19j Pro miners from Bitmain, which are expected to be delivered in six equal batches on a monthly basis from April 2022.
“We are delighted to close our second power asset to expand our low cost power supply for our Bitcoin mining operations,” said Greg Beard, Co-Chairman and CEO of Stronghold. “We believe we have a differentiated business model within the Bitcoin mining industry because not only do we have some of the lowest electricity costs, but our operations create a positive environmental outcome in the places we operate through the cleaning up that toxic coal waste. .
“With 165 MW of power generation capacity and $ 132.5 million in proceeds from our recently completed IPO, we have a solid foundation to rapidly expand our Bitcoin mining capabilities. Additionally, we believe our omnibus services agreement will provide us with a seamless transition for the integration of the acquired Panther Creek plant, where we plan to begin installing miners next month. This rapid deployment of mining equipment is representative of the efficiency with which we are executing our business plans, and we are excited about our future initiatives and growth opportunities. “
About Stronghold Digital Mining, Inc. Stronghold is a vertically integrated Bitcoin mining company with a focus on environmentally responsible operations. Stronghold houses its miners at its 100% owned and operated Scrubgrass Plant, a low cost and environmentally friendly waste coal power generation facility in Pennsylvania.
Caution Regarding Forward-Looking Statements Certain statements contained in this press release constitute “forward-looking statements”. These forward-looking statements, including statements regarding Stronghold’s strategy, expectations regarding the acquisition, future operations, financial condition, outlook, management’s plans and objectives, and rate of growth. You can identify forward-looking statements because they contain words such as “believe”, “will”, “power”, “goals”, “plans”, “model” and “expects”. Forward-looking statements are based on Stronghold’s current expectations and assumptions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances which may differ materially from those contemplated by the forward-looking statements, which are neither statements of historical fact nor guarantees or assurances of future performance.
Any forward-looking statement speaks only as of the date on which it is made and, except as required by law, Stronghold assumes no obligation to update or revise any forward-looking statement, whether as a result of new information, events or others. New factors appear from time to time, and Stronghold cannot predict all of these factors. When reviewing these forward-looking statements, you should keep in mind the risk factors and other caveats contained in the prospectus filed with the SEC in connection with Stronghold’s initial public offering. Risk factors and other factors mentioned in Stronghold’s prospectus could cause its actual results to differ materially from those contained in any forward-looking statement.
Matt Glover or Jeff Grampp, CFA Gateway Group, Inc. [email protected] 1-949-574-3860
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