Hut 8 Operations Update for July 2024
August 05 2024 - 8:06PM
Hut 8 Corp. (Nasdaq | TSX: HUT) (“Hut 8” or the “Company”), a
leading, vertically integrated operator of large-scale energy
infrastructure and one of North America’s largest Bitcoin miners,
today released its operations update for July 2024.
“We are continuing to see the impact of our ongoing optimization
efforts in our self-mining business,” said Asher Genoot, CEO of Hut
8. “Our average energy cost has declined materially since bringing
Salt Creek online and completing the planned deployment of our
curtailment software, and we continue to build and refine our data
science platform to drive further efficiencies and margin
expansion.”
“We also announced the first conversion from our previously
announced pipeline of energy capacity under exclusivity, a site in
the Texas Panhandle located adjacent to a windfarm with 205
megawatts of immediately available power capacity. The site will be
able to pull power directly from the ERCOT grid when the wind farm
is not generating power. Across our platform, we now own or manage
energy infrastructure representing access to 1.3 gigawatts of power
capacity. We look forward to sharing more details on this site and
our second quarter 2024 results during our earnings call on August
13th.”
Highlights:
- Announced plans for a site in Texas with 205 MW of immediately
available power capacity
- Further progress in developing Cedarvale, with new capacity
being brought online in tranches of 50 MW
Operating Metrics
Average during the period unless otherwise noted |
July 2024 |
June 2024 |
Total energy capacity under
management1,2,3 |
762 MW |
762 MW |
Total deployed miners under
management4 |
174.2K |
172.1K |
Total hashrate under
management5 |
18.0 EH/s |
17.8 EH/s |
|
|
|
Self-Mining6 |
|
|
Deployed miners7 |
58.2K |
58.4K |
Deployed hashrate8 |
5.5 EH/s |
5.7 EH/s |
Bitcoin produced1,9 |
105 BTC |
107 BTC |
Bitcoin on balance sheet1 |
9,102 BTC |
9,105 BTC |
|
|
|
Managed
Services2,10 |
|
|
Energy capacity under
management1 |
582 MW |
582 MW |
Deployed miners under
management |
125.4K |
123.1K |
Hashrate under management |
13.4 EH/s |
13.1 EH/s |
|
|
|
Hosting |
|
|
Deployed miners under
management11,12 |
76.7K |
76.7K |
Hashrate under management13 |
8.5 EH/s |
8.4 EH/s |
|
Energy Infrastructure
Platform1
|
|
|
|
Current Revenue Stream(s)14 |
Site |
Location |
Owner |
Power Capacity |
Self-Mining |
Managed Services |
Hosting |
HPC |
Power Sales |
Expansion Site
115 |
Texas Panhandle |
Hut 8 |
205 MW |
|
|
|
|
|
Medicine
Hat |
Medicine Hat, AB |
Hut 8 |
67 MW |
Yes |
|
|
|
|
Salt Creek |
Orla, TX |
Hut 8 |
63 MW |
Yes |
|
|
|
|
Alpha |
Niagara Falls, NY |
Hut 8 |
50 MW |
Yes |
|
Yes |
|
|
Drumheller16 |
Drumheller, AB |
Hut 8 |
42 MW |
|
|
|
|
|
Kelowna |
Kelowna, BC |
Hut 8 |
1.1 MW |
|
|
|
Yes |
|
Mississauga |
Mississauga, ON |
Hut 8 |
0.9 MW |
|
|
|
Yes |
|
Vaughan |
Vaughan, ON |
Hut 8 |
0.6 MW |
|
|
|
Yes |
|
Vancouver
II |
Vancouver, BC |
Hut 8 |
0.5 MW |
|
|
|
Yes |
|
Vancouver I |
Vancouver, BC |
Hut 8 |
0.3 MW |
|
|
|
Yes |
|
King
Mountain17 |
McCamey, TX |
Hut 8 (JV) |
280 MW |
Yes |
Yes |
Yes |
|
Yes |
Iroquois
Falls18 |
Iroquois Falls, ON |
Hut 8 (JV) |
120 MW |
|
|
|
|
Yes |
Kingston18 |
Kingston, ON |
Hut 8 (JV) |
110 MW |
|
|
|
|
Yes |
North
Bay18 |
North Bay, ON |
Hut 8 (JV) |
40 MW |
|
|
|
|
Yes |
Kapuskasing18 |
Kapuskasing, ON |
Hut 8 (JV) |
40 MW |
|
|
|
|
Yes |
Cedarvale3 |
Barstow, TX |
Managed |
215 MW |
|
Yes |
|
|
|
East Stiles |
Midland, TX |
Managed |
30 MW |
|
Yes |
|
|
|
Rebel |
Midland, TX |
Managed |
25 MW |
|
Yes |
|
|
|
Stiles |
Midland, TX |
Managed |
20 MW |
|
Yes |
|
|
|
Garden City |
Midland, TX |
Managed |
12 MW |
|
Yes |
|
|
|
Total |
|
|
1,322 MW |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes:
(1) |
As
of the end of the period |
(2) |
Includes all Self-Mining, Managed
Services, and Hosting infrastructure, including 100% of the energy
capacity at the King Mountain site, which is owned by the King
Mountain JV in which the Company has a 50% membership interest and
a Fortune 200 renewable energy producer has the remaining 50%
membership interest (the “King Mountain JV”). |
(3) |
Includes 215 megawatts assuming
full capacity at Cedarvale, which was first energized in April and
is currently under construction. |
(4) |
Includes all miners that are
racked with power and networking, rounded to the nearest 100, in
Self-Mining, Managed Services, and Hosting infrastructure with
power and networking, including all miners at the King Mountain
site. |
(5) |
Includes all Self-Mining, Managed
Services, and Hosting hashrate, including 100% of the hashrate at
the King Mountain site. |
(6) |
Self-Mining operations for Hut 8
include 100% of operations at the King Mountain site. |
(7) |
Deployed miners are defined as
those physically racked with power and networking, rounded to the
nearest 100; deployed self-mining miners net of the 50% share of
the King Mountain JV held by Hut 8’s joint venture partner was
49.2K during July and 49.4K during June. |
(8) |
Indicates the target hashrate of
all deployed miners; deployed self-mining hashrate net of the 50%
share of the King Mountain JV held by Hut 8’s joint venture partner
was 4.7 EH/s during July and 4.8 EH/s during June. |
(9) |
Bitcoin produced net of the 50%
share of the King Mountain JV held by Hut 8’s joint venture partner
was 88 BTC during July and 90 during June. |
(10) |
The Managed Services figures
reflected in this table include the Self-Mining and Hosting metrics
from the sites where Hut 8’s Managed Services business is an
additional service layer in the operation of the site (at King
Mountain, Rebel, Stiles, East Stiles, and Garden City). As a
result, the sum of the Self-Mining, Managed Services, and Hosting
numbers will not add up to the “Total energy capacity under
management”, “Total deployed miners under management”, and “Total
hashrate under management” figures that are also reflected in the
table. |
(11) |
Miners are rounded to the nearest
100. |
(12) |
42.6K deployed miners under
management net of the 50% share of the King Mountain JV held by Hut
8’s joint venture partner during both July and June. |
(13) |
4.7 EH/s and 4.6 EH/s under
management net of Hut 8’s joint venture partner’s 50% share of the
King Mountain JV during July and June, respectively. |
(14) |
Reflects revenue sources to Hut
8, its subsidiaries, and/or joint ventures in which they
participate. |
(15) |
Site is currently under
development. |
(16) |
Site currently shut down; Hut 8
maintaining lease with option value of re-energizing site. |
(17) |
Owned by a JV between Hut 8 and a
Fortune 200 renewable energy producer in which Hut 8 has an
approximately 50% membership interest. |
(18) |
Owned by a JV between Hut 8 and
Macquarie in which Hut 8 has an approximately 80% membership
interest. |
|
|
Upcoming EventsHut 8 will be hosting a
conference call to discuss the Company’s second quarter 2024
results on Tuesday, August 13th, 2024 at 8:30a.m. ET. The webcast
can be viewed here.
About Hut 8 Hut 8 Corp. is an energy
infrastructure operator and Bitcoin miner with self-mining,
hosting, managed services, and traditional data center operations
across North America. Headquartered in Miami, Florida, Hut 8 Corp.
has a portfolio comprising twenty sites: ten Bitcoin mining,
hosting, and Managed Services sites in Alberta, New York, and
Texas, five high performance computing data centers in British
Columbia and Ontario, four power generation assets in Ontario, and
one newly announced site in the Texas Panhandle. For more
information, visit www.hut8.com and follow us on X (formerly known
as Twitter) at @Hut8Corp.
Cautionary Note Regarding Forward–Looking
InformationThis press release includes “forward-looking
information” and “forward-looking statements” within the meaning of
Canadian securities laws and United States securities laws,
respectively (collectively, “forward-looking information”). All
information, other than statements of historical facts, included in
this press release that address activities, events or developments
that Hut 8 expects or anticipates will or may occur in the future,
including such things as future business strategy, competitive
strengths, goals, expansion and growth of the business, operations,
plans and other such matters is forward-looking information.
Forward-looking information is often identified by the words “may”,
“would”, “could”, “should”, “will”, “intend”, “plan”, “anticipate”,
“allow”, “believe”, “estimate”, “expect”, “predict”, “can”,
“might”, “potential”, “predict”, “is designed to”, “likely” or
similar expressions. Specifically, such forward-looking information
included in this press release includes statements relating to the
impact of the Company’s optimization efforts, building and refining
the Company’s data science platform to drive further efficiencies
and margin expansion, and the Company’s progress developing its
Cedarvale site.
Statements containing forward-looking information are not
historical facts, but instead represent management's expectations,
estimates and projections regarding future events based on certain
material factors and assumptions at the time the statement was
made. While considered reasonable by Hut 8 as of the date of this
press release, such statements are subject to known and unknown
risks, uncertainties, assumptions and other factors that may cause
the actual results, level of activity, performance or achievements
to be materially different from those expressed or implied by such
forward-looking information, including but not limited to, security
and cybersecurity threats and hacks; malicious actors or botnet
obtaining control of processing power on the Bitcoin network;
further development and acceptance of the Bitcoin network; changes
to Bitcoin mining difficulty; loss or destruction of private keys;
increases in fees for recording transactions in the Blockchain;
erroneous transactions; reliance on a limited number of key
employees; reliance on third party mining pool service providers;
regulatory changes; classification and tax changes; momentum
pricing risk; fraud and failure related to digital asset exchanges;
difficulty in obtaining banking services and financing; difficulty
in obtaining insurance, permits and licenses; internet and power
disruptions; geopolitical events; uncertainty in the development of
cryptographic and algorithmic protocols; uncertainty about the
acceptance or widespread use of digital assets; failure to
anticipate technology innovations; the COVID19 pandemic, climate
change; currency risk; lending risk and recovery of potential
losses; litigation risk; business integration risk; changes in
market demand; changes in network and infrastructure; system
interruption; changes in leasing arrangements; failure to achieve
intended benefits of power purchase agreements; potential for
interrupted delivery, or suspension of the delivery, of energy to
mining sites and other risks related to the digital asset mining
and data center business. For a complete list of the factors that
could affect Hut 8, please see the “Risk Factors” section of Hut
8’s Transition Report on Form 10-K, available under the Company’s
EDGAR profile at www.sec.gov, and Hut 8’s other continuous
disclosure documents which are available under the Company’s SEDAR+
profile at www.sedarplus.ca and EDGAR profile
at www.sec.gov.
Hut 8 Corp. Investor RelationsSue
Ennissue@hut8.com
Hut 8 Corp. Media RelationsEóin
Fayeoin.fay@hut8.com
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