Argo Blockchain PLC Announces Equipment Financing Agreement with NYDIG

Rhea-AI Summary

Argo Blockchain has entered into a $26.66 million equipment financing agreement with NYDIG to enhance its Helios cryptocurrency mining facility in Texas. The agreement features an interest rate of 8.25% over four years, secured by the purchased equipment. This funding will facilitate the completion of the 200MW Helios facility, expected to commence operations in the first half of 2022. CEO Peter Wall expressed enthusiasm for this non-dilutive funding, highlighting the significance of this partnership in advancing their operations.

Positive

• Secured $26.66 million in non-dilutive funding to enhance facility operations.
• The financing agreement has a competitive interest rate of 8.25% over four years.
• Completion of the 200MW Helios facility is on track for the first half of 2022.

Negative

• None.

LONDON, UK / ACCESSWIRE / March 10, 2022 / Argo Blockchain PLC ("Argo" or "the Company"), a global leader in cryptocurrency mining (LSE:ARB) (NASDAQ:ARBK), announces that Argo Helios LLC ("Argo Helios"), a wholly owned Delaware-registered subsidiary of Argo Blockchain plc, has entered into an equipment financing agreement (the "Financing Agreement") with NYDIG ABL LLC ("NYDIG"), a wholly owned subsidiary of New York Digital Investment Group LLC.

As part of the Financing Agreement, NYDIG has loaned Argo Helios an aggregate principal amount of $26.66 million (£20.23 million)* to recapitalize the purchase of electrical infrastructure equipment (the "Financed Equipment") for the Company's flagship cryptocurrency mining facility, Helios, in Dickens County, Texas. The Company anticipates being able to energize the 200MW Helios facility, and is still on track for facility completion, in the first half of 2022.

The aggregate principal amount outstanding bears interest of 8.25% per annum and has a term of four years. Outstanding borrowings under the Financing Agreement are secured by the Financed Equipment and the contracts to acquire the Financed Equipment.

* Exchange rate correct as of 9 March 2022

Peter Wall, Chief Executive of Argo, said: "We are delighted to secure this non-dilutive funding which will enable us to complete a crucial stage in our fit out of our Helios site. NYDIG is one of the foremost bitcoin finance companies in the industry and we are excited to leverage their knowledge and insight of the sector in this newly formed relationship".

Josh Burandt, Head of Mining Services at NYDIG, said: "The mission of our mining services business is to help secure the bitcoin network by supporting the growth of the world's leading Bitcoin miners. In pursuit of that mission, we are excited to partner with Argo and provide infrastructure financing for the launch of their state-of-the-art Texas facility."

Inside Information and Forward-Looking Statements

This announcement contains inside information and includes forward-looking statements which reflect the Company's or, as appropriate, the Directors' current views, interpretations, beliefs, or expectations with respect to the Company's financial performance, business strategy and plans and objectives of management for future operations. These statements include forward-looking statements both with respect to the Company and the sector and industry in which the Company operates. Statements which include the words "expects", "intends", "plans", "believes", "projects", "anticipates", "will", "targets", "aims", "may", "would", "could", "continue", "estimate", "future", "opportunity", "potential" or, in each case, their negatives, and similar statements of a future or forward-looking nature identify forward-looking statements. All forward-looking statements address matters that involve risks and uncertainties because they relate to events that may or may not occur in the future. Forward-looking statements are not guarantees of future performance. Accordingly, there are or will be important factors that could cause the Company's actual results, prospects, and performance to differ materially from those indicated in these statements. In addition, even if the Company's actual results, prospects and performance are consistent with the forward-looking statements contained in this document, those results may not be indicative of results in subsequent periods. These forward-looking statements speak only as of the date of this announcement. Subject to any obligations under the Prospectus Regulation Rules, the Market Abuse Regulation, the Listing Rules and the Disclosure and Transparency Rules and except as required by the FCA, the London Stock Exchange, the City Code or applicable law and regulations, the Company undertakes no obligation publicly to update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. For a more complete discussion of factors that could cause our actual results to differ from those described in this announcement, please refer to the filings that Company makes from time to time with the United States Securities and Exchange Commission and the United Kingdom Financial Conduct Authority, including the section entitled "Risk Factors" in the Company's Registration Statement on Form F-1.

For further information please contact:

Argo Blockchain
Peter Wall Chief Executive	via Tancredi +44 203 434 2334
finnCap Ltd
Corporate Finance Jonny Franklin-Adams Tim Harper Joint Corporate Broker Sunila de Silva	+44 207 220 0500
Tennyson Securities
Joint Corporate Broker Peter Krens	+44 207 186 9030
OTC Markets
Jonathan Dickson jonathan@otcmarkets.com	+44 204 526 4581 +44 7731 815 896
Tancredi Intelligent Communication UK & Europe Media Relations
Emma Valgimigli Emma Hodges Fabio Galloni-Roversi Monaco Nasser Al-Sayed argoblock@tancredigroup.com	+44 7727 180 873 +44 7861 995 628 +44 7888 672 701 +44 7915 033 739

About Argo:

Argo Blockchain plc is a global leader in cryptocurrency mining with one of the largest and most efficient operations powered by clean energy. The Company is headquartered in London, UK and its shares are listed on the Main Market of the London Stock Exchange under the ticker: ARB and on the Nasdaq Global Select Market in the United States under the ticker: ARBK.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

SOURCE: Argo Blockchain PLC

View source version on accesswire.com:
https://www.accesswire.com/692427/Argo-Blockchain-PLC-Announces-Equipment-Financing-Agreement-with-NYDIG

FAQ

What is the equipment financing agreement announced by ARBK on March 10, 2022?

Argo Blockchain announced a $26.66 million equipment financing agreement with NYDIG to improve its Helios mining facility.

What are the terms of the financing agreement for ARBK?

The financing agreement has an interest rate of 8.25% per annum and a term of four years.

When is the Helios facility expected to be completed?

The Helios facility is expected to be completed in the first half of 2022.

How will the financing agreement benefit Argo Blockchain investors?

The non-dilutive funding will enable operational advancements without affecting shareholder equity.