The Increased Power Capacity at the Facility Would Accommodate Approximately 90,000 of the Latest Generation Bitcoin Miners Providing an Annualized Mining Capacity of Approximately 19,600 Bitcoin
LAS VEGAS--(BUSINESS WIRE)--Mar. 7, 2022--
BitNile Holdings, Inc. (NYSE American: NILE), a diversified holding company (“BitNile” or the “Company”) today announced that it plans to expand the power capacity at its Michigan data center (the “Facility”) to 300 megawatts (“MW”), which would enable Bitcoin mining operations at the Facility to operate approximately 90,000 Bitcoin miners. Upon the installation of the entirety of the approximately 90,000 Bitcoin miners, the Company’s Bitcoin mining production capacity is anticipated to be approximately 12 exahash per second (EH/s), representing an estimated annualized Bitcoin mining production capacity of approximately 19,600 Bitcoin, or $779 million based on a Bitcoin market price of $41,000 and current market conditions, including a mining difficulty level of 27.55 trillion. The planned expansion of power capacity, if accomplished, would support the Company’s goal to become one of the top ten publicly traded Bitcoin mining companies in the country.
This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20220307005373/en/
BitNile, Inc. Bitcoin mining pods at Michigan Data Center (Photo: Business Wire)
The Company has entered into agreements to purchase Bitcoin mining equipment from Bitmain Technologies, Ltd. (“Bitmain”) and currently has approximately 2,160 active S19j Pro Antminers at the Facility with 300 Bitcoin miners in transit and 18,140 Bitcoin miners on order with presently scheduled monthly deliveries from Bitmain through December 2022. The Facility comprises 617,000 square feet and was recently renovated to provide for a 30,000 square foot data center (“Data Center”). To date the Company has spent over $100 million on procuring mining equipment and upgrading the Data Center. The planned power expansion is part of a multi-year power agreement with a nuclear plant that provides power at a competitive rate for Bitcoin mining coupled with planned “green” alternative power sources. The Company has not yet entered into this power agreement but expects to do so in the near future. Actual energy delivered by the utility would, within 18 to 24 months, come from approximately 85% emission-free sources. BitNile is exploring off-grid cogeneration of power to extend its overall capacity beyond 300MW.
The Company’s Founder and Executive Chairman, Milton “Todd” Ault, III stated, “We understand the potential of the Facility and its infrastructure and look forward to a steady progression in Bitcoin mining production and revenue. The planned expansion of the power capacity at the Facility to 300MW over the next 18 to 24 months would, if achieved, enable BitNile to grow its existing partnership with Bitmain while potentially attracting other strategic joint-venture partners, a key component to realizing the full value of the Facility, including its Data Center.”
BitNile publishes monthly unaudited updates on Bitcoin production and miner installation at www.BitNile.com. While the Company believes that the future operations of the Facility and its cryptocurrency mining operations will be successful, the Company hereby cautions you that all estimates and other projections are subject to several factors including, but not limited to, its ability to acquire financing on acceptable terms, the availability and actual delivery of Bitcoin miners, the ability of the Company to expand the Facility’s infrastructure, finalizing the service delivery agreement with the power company as well as purchasing and installing transformers, step-down units, switches, and cables. During the planned expansion of power at the Facility, the Company may be required to utilize third-party data center services to power a portion of its incremental miners. Additionally, the Company informs you that Bitcoin market prices are subject to significant volatility and that Bitcoin mining operations are subject to fluctuations in mining difficulty. Further, there are other factors that could adversely impact the Company’s mining operations such as the possible effect of regulators focusing on digital assets and digital securities and the costs associated with such regulatory oversight.
For more information on BitNile Holdings and its subsidiaries, BitNile recommends that stockholders, investors, and any other interested parties read BitNile’s public filings and press releases available under the Investor Relations section at www.BitNile.com or available at www.sec.gov.
About BitNile Holdings, Inc.
BitNile Holdings, Inc. is a diversified holding company pursuing growth by acquiring undervalued businesses and disruptive technologies with a global impact. Through its wholly and majority-owned subsidiaries and strategic investments, BitNile owns and operates a data center at which it mines Bitcoin and provides mission-critical products that support a diverse range of industries, including defense/aerospace, industrial, automotive, telecommunications, medical/biopharma, and textiles. In addition, BitNile extends credit to select entrepreneurial businesses through a licensed lending subsidiary. BitNile’s headquarters are located at 11411 Southern Highlands Parkway, Suite 240, Las Vegas, NV 89141; www.BitNile.com.
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the U.S. Securities and Exchange Commission, including, but not limited to, the Company’s Forms 10-K, 10-Q and 8-K. All filings are available at www.sec.gov and on the Company’s website at www.BitNile.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20220307005373/en/
BitNile Holdings Investor Contact:
IR@BitNile.com or 1-888-753-2235
Source: BitNile Holdings, Inc.