TORONTO--(BUSINESS WIRE)--(Block Height: 792,455) – Cathedra Bitcoin Inc. (TSX-V: CBIT; OTCQX: CBTTF) (“Cathedra” or the “Company”), is pleased to announce a strategic partnership with 360 Mining, Inc (“360 Mining”), a Delaware incorporated off-grid bitcoin mining company.
Under the partnership, Cathedra will deploy mobile data centers and bitcoin mining machines at 360 Mining’s off-grid location in Texas, with 360 Mining providing natural gas and power generation infrastructure to supply continuous electricity to Cathedra’s bitcoin mining infrastructure. Cathedra will pay 360 Mining a rate of US$55.00 per megawatt hour for power consumed, plus 10% of gross bitcoin mined at the site. The parties also reserve the option to abstain from mining bitcoin to sell the natural gas to market in the event it is economically advantageous to do so. The partnership gives Cathedra the rights to 2.0 megawatts of power capacity, with an initial deployment of 0.3 megawatts to be completed in the next 60 days.
For the initial deployment, Cathedra will deploy one of its proprietary bitcoin mining “Rovers,” mobile bitcoin mining data centers which the Company designed and manufactured in-house, outfitted with legacy Whatsminer M31S and M32S machines from the Company’s partnership with Great American Mining in 2021-2022. The Company intends to apply its industry-leading underclocking capabilities to these machines to achieve an efficiency of approximately 37 joules per terahash, up to a 30% improvement upon the machines’ factory efficiency. With these underclocked machines, the initial deployment will produce at least 8 PH/s of incremental hash rate with minimal capital expenditure from Cathedra.
Upon completion of any subsequent deployments, the Company expects the full 2.0 megawatts of bitcoin mining capacity under the partnership to produce at least 54 PH/s of incremental hash rate, though the exact amount will vary based on the models of machines deployed and selected underclocking settings. The Company will provide subsequent updates to shareholders as more hash rate is deployed under the partnership in the coming months.
With the partnership, Cathedra expands its operating footprint to a fourth U.S. state and becomes the only publicly listed bitcoin miner with operations utilizing both on- and off-grid energy sources.
“We are excited to begin working with 360 Mining, a company run by bitcoiners who have put in the proof-of-work to develop off-grid mining expertise,” commented Cathedra’s Chairman and President, Drew Armstrong.
“This partnership is an important step for Cathedra. With the onset of the bitcoin bear market last year, we were forced to pause our Rover manufacturing efforts and pursuit of off-grid energy to focus on maximizing near-term operating cash flow. As part of this focus on profitability, we pioneered the use of underclocking techniques on latest-generation machines to improve efficiency and operating margins. Now, this partnership synthesizes all of these initiatives, leveraging our proprietary Rovers, industry-leading underclocking capabilities, and experience mining off-grid. And by utilizing idle infrastructure and machines, we are growing our hash rate with minimal incremental capital investment,” Armstrong added.
“We are thrilled to partner with Cathedra to pioneer a new hosting model that offers industry leading downside protection via exposure to natural gas. This strategic partnership will allow 360 Mining to monetize our gas at a higher $/MCF while further legitimizing the value proposition of off-grid vertical integration,” commented 360 Mining’s CEO, Chris Alfano.
About 360 Mining
360 Mining is a vertically integrated bitcoin mining company that owns, develops and operates natural gas and power generation assets in the United States. The company operates through a self-mining arm and a services arm that engages in hosting and consulting for third-parties. The company is currently focused on acquiring new natural gas assets in Texas and expanding on its proven business model that generates enhanced economics on produced natural gas.
About Cathedra Bitcoin
Cathedra Bitcoin Inc. (TSX-V: CBIT; OTCQX: CBTTF) is a Bitcoin company that believes sound money and abundant energy are the keys to human flourishing. The Company has diversified bitcoin mining operations which produce 343 PH/s across three states and seven locations in the United States. The Company is focused on managing and expanding its portfolio of hash rate through a diversified approach to site selection and operations, utilizing multiple energy sources across various jurisdictions.
Trading in the securities of the Company should be considered highly speculative. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain “forward-looking information” within the meaning of applicable Canadian securities laws that are based on expectations, estimates and projections as at the date of this news release. The information in this release about future plans and objectives of the Company, are forward-looking information. Other forward-looking information includes but is not limited to information concerning: the intentions and future actions of senior management, the intentions, plans and future actions of the Company, as well as the Company’s ability to successfully mine digital currency; revenue increasing as currently anticipated; the ability to profitably liquidate current and future digital currency inventory; volatility of network difficulty and, digital currency prices and the resulting significant negative impact on the Company’s operations; the construction and operation of expanded blockchain infrastructure as currently planned; and the regulatory environment of cryptocurrency in applicable jurisdictions.
Any statements that involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking information and are intended to identify forward-looking information.
This forward-looking information is based on reasonable assumptions and estimates of management of the Company at the time it was made, and involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. The Company has also assumed that no significant events occur outside of the Company’s normal course of business. Although the Company has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company undertakes no obligation to revise or update any forward-looking information other than as required by law.