Bitcoin Miner CleanSpark Purchases Four Mining Facilities, Set to Double Hash Rate

CleanSpark, the Bitcoin mining company, disclosed its acquisition of four new mining facilities, comprising three in Mississippi and one in Dalton, Georgia, according to a press release on February 6.

With these strategic acquisitions, CleanSpark aims to double its hash rate during the first half of 2024, a significant milestone highlighted in the company's announcement. The deal includes the purchase of three "turnkey" sites in Mississippi, with a cash value of $19.8 million, expected to contribute approximately 14% to CleanSpark's revenue shortly after the transaction closes in 21 days.

"Turnkey sites" typically denote properties or projects that are fully completed and ready for immediate use upon acquisition. Simultaneously, CleanSpark is finalizing the purchase of a Dalton, Georgia facility, initiating with a $3.4 million cash payment and planning an additional $3.5 million investment to conclude the project by April. This expansion in Dalton will bring CleanSpark's total sites in the area to three.

CleanSpark anticipates a substantial boost to its operational hash rate with these acquisitions, combined with the upcoming Sandersville expansion, which is projected to add six EH/s to the company's hash rate. As a result, CleanSpark is on track to double its hash rate from 10 EH/s to 20 EH/s by the first half of 2024.

CEO Zachary Bradford emphasized the strategic move into Mississippi as part of CleanSpark's growth strategy and efforts to diversify its data center portfolio thoughtfully. He stated that the company's experience in southeastern power markets, gained through its operations in Georgia, would be beneficial, considering that Mississippi shares the same electric reliability region, indicating synergies between the locations.

Furthermore, Bradford underlined that these acquisitions are strategically timed to position CleanSpark for the expected Bitcoin halving event scheduled for late April. During this event, the mining reward for a Bitcoin is anticipated to decrease from 6.25 BTC to 3.125 BTC. Bradford emphasized that these purchases enhance operational efficiencies as CleanSpark prepares for the impending halving event.