Bit Brother's Crypto Mining Projects Achievements in Texas
Bit Brother Limited (NASDAQ: BTB) is launching its crypto mining business in the U.S. through a series of agreements. On December 13, 2022, Bit Brother New York Inc. secured a retail power sales agreement with Pumpjack Power for 4.5 MW capacity initially, increasing to 6 MW from April 2023 until December 2027. Additionally, it has entered an asset purchase agreement with Bolt Mining for $2.1 million and signed a site sublease for a mining facility in Clyde, Texas. The company also purchased 1,400 S19J Pro mining servers for $2.33 million, marking significant growth in its blockchain initiatives.
- Launch of U.S. crypto mining business could drive future revenues.
- Retail power sales agreement with Pumpjack Power ensures energy supply for operations.
- Acquisition of mining assets from Bolt Mining enhances operational capacity.
- Purchase of 1,400 S19J Pro mining servers increases mining efficiency.
- Dependence on external power provider may pose operational risks.
- Significant upfront costs ($2.1 million and $2.33 million) could strain financial resources.
- Market volatility in cryptocurrency could impact profitability.
CHANGSHA, China, Jan. 4, 2023 /PRNewswire/ -- Bit Brother Limited (the "Company," "we" or "Bit Brother") (NASDAQ: BTB) announces execution of a series of agreements marking launch of its crypto mining business in the U.S. On December 13, 2022, our wholly owned subsidiary, Bit Brother New York Inc. ("BTB NY"), entered into a retail power sales agreement with Pumpjack Power, LLC, ("Pumpjack") for the supply of electrical energy to BTB NY to operate its facilities in the Texas ERCOT region. Pumpjack, an Option 2 Retail Electric Provider ("REP"), is engaged in the retail marketing of electric energy in the Texas ERCOT market. Pumpjack has proposed to supply BTB NY 4.5 MW of capacity during January 1, 2023 to March 31, 2023, and 6 MW of capacity during April 1, 2023 to December 31, 2027 for the contract price of
On the same date, BTB NY and Bolt Mining, LLC ("Bolt Mining"), a Delaware limited liability company engaged in the business of providing cryptocurrency mining equipment and infrastructure entered into an asset purchase agreement (the "APA"), pursuant to which BTB NY will purchase certain identified assets and liabilities of the Business from Bolt Mining for a total purchase price of
Contemporaneously with execution of the APA, BTB NY, as a subtenant entered into a site sublease (the "Site Lease") with Bolt Mining as a sublessor and Acme Commercial Properties LLC (the "Landlord") for the sublease of approximately 3,000 square feet of space located at 1968 N Access Rd, Clyde, TX 79510 (the "Site"), having a 47-month term beginning on January 13, 2023 with a base rent of
On December 22, 2022, BTB NY purchased 1,400 S19J Pro cryptocurrency mining servers from Grand Flourish Inc. for an aggregate purchase price of US
Mr. Ralph Jones, the CEO of BTB NY, commented, "it's inspiring to see Bit Brother entered into the retail power sales agreement, cryptocurrency mining equipment purchase agreement, and the crypto mining site lease simultaneously in December 2022. It drew a perfecting ending for 2022. The initial achievements Bit Brother made constitute a firm step for its further journey in cryptocurrency and blockchain field."
About Bit Brother, Inc.
Bit Brother Limited (formerly known as Urban Tea, Inc.) was incorporated in the British Virgin Islands as a company with limited liability on November 28, 2011. Our business currently consists of the distribution and retail of specialty tea products. We have conducted research and planning of our blockchain technology and cryptocurrency mining business since 2021. For more information, please visit: www.bitbrother.com
Forward-Looking Statements
This press release contains certain statements that may include "forward-looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including the uncertainty about the spread of the COVID-19 virus and the impact it will have on the Company's operations, the demand for the Company's products, supply chains, New York City's regulation of restaurants, and economic activity in general. These and other risks and uncertainties are detailed in the risk factors discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on the SEC's website (http://www.sec.gov). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the applicable securities laws, the Company does not assume a duty to update these forward-looking statements.
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SOURCE Bit Brother Limited
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