CleanSpark Acquires Five Bitcoin Mining Facilities in Georgia for $25.8M

CleanSpark Inc., a prominent player in the Bitcoin mining industry, took a major step in its expansion strategy by acquiring five new turnkey Bitcoin mining facilities in rural Georgia. The $25.8 million cash deal will enhance CleanSpark’s infrastructure, adding 60 megawatts (MW) of capacity and increasing the company’s operating hashrate.

The acquisition is expected to be crucial in achieving CleanSpark’s mid-year target of 20 exahashes per second (EH/s) of operating hashrate.

CleanSpark Strategic Expansion and Infrastructure Growth

The $25.8 million deal for Bitcoin mining facilities by CleanSparks aligns with its broader strategic growth plans, aimed at scaling their operations efficiently and sustainably. The company expects the combined operating hashrate of these new facilities to exceed 3.7 EH/s upon the full installation of the latest generation of S21 Pro miners.

The newly acquired sites range in size from 8 MW to 15 MW, totaling 60 MW. These facilities include interruptible-load designated power purchase agreements (PPAs), allowing flexible energy usage based on local demand.

Load balancing is particularly valuable during periods of high demand, such as extreme weather conditions. The agreements cover the purchase of mining data centers and equipment at each site, excluding the miners, and include CleanSpark’s assumption of real property leases and power agreements.

Currently, CleanSpark operates approximately 300 MW of infrastructure in Georgia. With the addition of the new sites and the full energization of the Sandersville facility, CleanSpark’s operations in Georgia will exceed 400 MW.

In addition to its operations in Georgia, CleanSpark has infrastructure in Mississippi, co-locates machines in upstate New York, and has announced future locations in Wyoming.

CleanSpark Done Multiple Acquisitions In 2024

CleanSpark recently announced a major infrastructure deal to capitalize on Bitcoin’s rising prices: it purchased 60,000 Bitmain S21 miners for $193.2 million. The machines are set to arrive between April and June 2024, and their average cost is $16.10 per terahash per second (TH/s).

Additionally, CleanSpark secured a call option to buy another 100,000 machines at a fixed price, potentially increasing its total capacity to 50 exahashes per second (EH/s), accounting for nearly 10% of Bitcoin’s network hash rate. This strategic move aims to protect against rising equipment prices in future bull markets, as Bradford claimed.

In February, CleanSpark also announced the acquisition of four new mining facilities —three in Mississippi and one in Dalton, Georgia—aiming to double its hash rate in the first half of 2024.

The Mississippi sites were purchased for $19.8 million, are expected to close within 21 days, and will contribute significantly to near-term revenue. The Dalton facility deal involves an initial payment of $3.4 million, with an additional $3.5 million invested to finalize the project by April.