Cipher Mining Signs 168 MW, 10-Year AI Hosting Agreement with Fluidstack
Cipher Mining (NASDAQ:CIFR) has secured a major 10-year high-performance computing (HPC) colocation agreement with Fluidstack, valued at approximately $3 billion in contracted revenue. The agreement involves delivering 168 MW of critical IT load at Cipher's Barber Lake site in Texas, with potential extension options that could increase the total contract value to $7 billion.
Google will backstop $1.4 billion of Fluidstack's lease obligations and receive warrants for approximately 5.4% equity stake in Cipher. The project's estimated costs are $9-$11 million per MW of critical IT load, with expected site Net Operating Income margins of 80%-85%. Cipher maintains a separate 2.4 GW pipeline for HPC development beyond this agreement.
Cipher Mining (NASDAQ:CIFR) ha assicurato un accordo di colocation HPC da 10 anni con Fluidstack, del valore di circa 3 miliardi di dollari di ricavi contrattuali. L'accordo prevede la fornitura di 168 MW di carico IT critico presso il sito Barber Lake di Cipher in Texas, con opzioni di estensione che potrebbero aumentare il valore totale del contratto a 7 miliardi di dollari. Google supporterà 1,4 miliardi di dollari delle obbligazioni di locazione di Fluidstack e riceverà warrant per circa 5,4% della partecipazione azionaria in Cipher. I costi stimati del progetto sono 9-11 milioni di dollari per MW di carico IT critico, con margini operativi netti del sito previsto tra l'80% e l'85%. Cipher mantiene un pipeline separato di 2,4 GW per lo sviluppo HPC oltre questo accordo.
Cipher Mining (NASDAQ:CIFR) ha asegurado un acuerdo de colocation HPC de 10 años con Fluidstack, valorado en aproximadamente $3 mil millones en ingresos contratados. El acuerdo implica entregar 168 MW de carga IT crítica en el sitio Barber Lake de Cipher en Texas, con opciones de extensión que podrían elevar el valor total del contrato a $7 mil millones. Google respaldará $1.4 mil millones de las obligaciones de arrendamiento de Fluidstack y recibirá warrants por aproximadamente 5.4% de participación en Cipher. Los costos estimados del proyecto son de $9-$11 millones por MW de carga IT crítica, con márgenes de ingresos netos de operación del sitio previstos entre el 80% y el 85%. Cipher mantiene un pipeline separado de 2.4 GW para desarrollo de HPC más allá de este acuerdo.
Cipher Mining(NASDAQ:CIFR)은 Fluidstack와 10년 간의 HPC colocations 계약을 확보했으며 계약 매출은 대략 30억 달러 규모입니다. 이 계약은 텍사스 주 바버 레이크에 위치한 Cipher의 사이트에서 168 MW의 중요한 IT 부하를 제공하는 것을 포함하며, 확장 옵션으로 총 계약 가치가 70억 달러까지 늘어날 수 있습니다. 구글은 Fluidstack의 임대 의무 12억 달러를 보증하고 Cipher의 지분 약 5.4%에 해당하는 워런트를 받게 됩니다. 프로젝트의 추정 비용은 IT 부하 1MW당 900만~1100만 달러이고, 사이트의 순영업소득(NO) 마진은 80%-85%로 예상됩니다. 또한 Cipher는 이 계약 외에도 HPC 개발을 위한 별도의 2.4 GW 파이프라인을 보유하고 있습니다.
Cipher Mining (NASDAQ:CIFR) a sécurisé un accord de colocation HPC de 10 ans avec Fluidstack, d'une valeur d'environ 3 milliards de dollars de revenus contractuels. L'accord prévoit la fourniture de 168 MW de charge informatique critique sur le site Barber Lake de Cipher au Texas, avec des options d'extension qui pourraient porter la valeur totale du contrat à 7 milliards de dollars. Google soutiendra 1,4 milliard de dollars des obligations de bail de Fluidstack et recevra des warrants représentant environ 5,4% du capital de Cipher. Les coûts estimés du projet s'élèvent à 9-11 millions de dollars par MW de charge IT critique, avec des marges opérationnelles nettes du site prévues entre 80% et 85%. Cipher dispose d'un pipeline séparé de 2,4 GW pour le développement HPC au-delà de cet accord.
Cipher Mining (NASDAQ:CIFR) hat eine bedeutende 10-Jahres-HPC-Colocation-Vereinbarung mit Fluidstack gesichert, die rund 3 Milliarden US-Dollar an vertraglich zugesagten Einnahmen umfasst. Die Vereinbarung sieht die Bereitstellung von 168 MW kritischer IT-Auslastung am Cipher-Standort Barber Lake in Texas vor, mit Erweiterungsoptionen, die den Gesamtwert des Vertrags auf bis zu 7 Milliarden US-Dollar erhöhen könnten. Google wird 1,4 Milliarden US-Dollar der Leasingverpflichtungen von Fluidstack absichern und erhält Warrants im Wert von ca. 5,4% am Cipher-Aktienkapital. Die geschätzten Projektkosten liegen bei 9–11 Millionen US-Dollar pro MW kritischer IT-Auslastung, mit erwarteten Netto-Betriebsrenditen (NOI) des Standorts von 80–85%. Cipher unterhält außerdem eine separate Pipeline von 2,4 GW für die HPC-Entwicklung jenseits dieses Abkommens.
Cipher Mining (NASDAQ:CIFR) أمنت اتفاقاً لاستضافة HPC لمدة 10 سنوات مع Fluidstack، بقيمة تقارب 3 مليارات دولار من الإيرادات المتعاقد عليها. يتضمن الاتفاق توفير 168 ميغاوات من الحمل IT الحيوي في موقع Cipher بباربر ليك في تكساس، مع خيارات تمديد قد ترفع القيمة الإجمالية للعقد إلى 7 مليارات دولار. ستدعَم Google التزامات Fluidstack الإيجارية بمقدار 1.4 مليار دولار وت حصول على سندات warrants تمثل نحو 5.4% من أسهم Cipher. تقديرات تكاليف المشروع هي 9-11 مليون دولار لكل MW من الحمل IT الحيوي، مع هوامش صافي الدخل التشغيلي للموقع المتوقع أن تكون بين 80% و 85%. لدى Cipher خط أنابيب منفصل بقوة 2.4 GW لتطوير HPC يتجاوز هذا الاتفاق.
Cipher Mining（NASDAQ:CIFR） 已与 Fluidstack 取得一项重要的10年 HPC 共址协议，合同收入约为 30 亿美元。该协议涉及在 Cipher 位于德克萨斯州 Barber Lake 的地点提供 168 MW 的关键 IT 负载，并有扩展选项，可能将合同总价值提升至 70 亿美元。Google 将为 Fluidstack 的租赁义务提供约 14 亿美元的担保，并获得约 5.4% 的 Cipher 股权认股权证。项目的估算成本为每MW 900–1100 万美元的关键 IT 负载，站点净经营收益（NOI）利润率预计在 80%–85% 之间。Cipher 还为该协议之外的 HPC 开发保留一个独立的 2.4 GW 管线。
- Secured $3 billion in contracted revenue over 10 years, with potential extension to $7 billion
- Google's $1.4 billion backstop strengthens project financing security
- High expected Site NOI margin of 80%-85%
- Strategic 5.4% equity investment from Google validates business model
- Large 2.4 GW pipeline remains available for additional HPC opportunities
- Site has potential for 500 MW capacity expansion on 587 acres
- Significant capital expenditure required at $9-$11 million per MW
- Will need to access capital markets for project funding
- Potential equity dilution from Google warrants
- High concentration risk with single customer agreement
Insights
Cipher's $3B deal with Fluidstack marks strategic pivot from crypto to AI infrastructure, backed by Google and transforming growth prospects.
This agreement represents a fundamental strategic shift for Cipher Mining, traditionally focused on cryptocurrency operations, now moving deliberately into high-performance computing for AI applications. The
The Google backstop of
From an infrastructure perspective, the 168 MW critical IT load (supported by 244 MW gross capacity) represents substantial power requirements typical of modern AI compute clusters. The site selection in Texas leverages Cipher's existing footprint while positioning for expansion across their ~2.4 GW pipeline.
The projected
This transaction positions Cipher as a significant player in the AI infrastructure space, transforming from a crypto-mining company to a diversified compute infrastructure provider - addressing a market with substantially higher growth potential and institutional investor appeal.
Transaction Secures ~
Expected Delivery of 168 MW of Critical IT Load by September of 2026
Google Backstops
Establishes Cipher, with its ~2.4 GW Pipeline, as a Major AI Data Center Developer
NEW YORK, Sept. 25, 2025 (GLOBE NEWSWIRE) -- Cipher Mining Inc. (NASDAQ:CIFR) (“Cipher” or the “Company”), a leading owner, developer and operator of industrial-scale data centers, today announces a 10-year high-performance computing (HPC) colocation agreement with Fluidstack, a premier AI cloud platform that builds and operates HPC clusters for some of the world’s largest companies.
Under the agreement, Cipher will deliver 168 MW of critical IT load, supported by a maximum of 244 MW of gross capacity, at its Barber Lake site in Colorado City, Texas. With its currently energized capacity, potential for 500 MW capacity expansion, and 587 acres of surrounding land, the site is well-suited to meet the needs of next-generation compute.
The agreement represents approximately
In addition, Google will backstop
“We are thrilled to be working with Fluidstack to develop HPC data centers, and we look forward to welcoming Google as an investor in Cipher. This transformative transaction reinforces our HPC momentum as we continue to attract attention for our large and growing pipeline of sites,” said Tyler Page, Cipher’s CEO. “We believe this transaction represents the first of several in the HPC space as we continue to scale our capabilities and strengthen our position in this rapidly growing sector.”
“Fluidstack understands what it takes to deliver the compute this moment requires,” said César Maklary, Co-Founder and President of Fluidstack. “Together with Cipher Mining, we’re committed to accelerating the development of critical infrastructure on which frontier AI companies depend.”
An accompanying presentation regarding the Fluidstack transaction is available on the Company’s investor relations website at https://investors.ciphermining.com/.
Transaction Details
- ~
$3.0 billion of contract value across the initial 10-year term - ~
$7.0 billion of contract value if two five-year extension options are exercised - Modified gross lease with annual escalators
- Expected Site Net Operating Income (NOI) Margin of
80% -85% - Estimated project costs of
$9 -$11 million per MW of critical IT load - Google backstop of
$1.4 billion of Fluidstack lease obligations in support of project-related debt - Google to receive warrants for ~
5.4% pro forma equity ownership stake, subject to adjustment and potential cash settlement under certain circumstances - Excluding contracted MWs for Fluidstack, Cipher maintains a growing pipeline of ~2.4 GW being prioritized for HPC
Advisors
Morgan Stanley & Co. LLC acted as sole financial advisor to the Company. Davis Polk & Wardwell LLP acted as legal counsel to the Company. Cooley LLP acted as legal counsel to Fluidstack.
About Cipher
Cipher is focused on the development and operation of industrial-scale data centers for bitcoin mining and HPC hosting. Cipher aims to be a market leader in innovation, including in bitcoin mining growth, data center construction and as a hosting partner to the world’s largest HPC companies. To learn more about Cipher, please visit https://www.ciphermining.com/.
Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the federal securities laws of the United States. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposes of complying with these safe harbor provisions. Any statements made in this press release that are not statements of historical fact, such as statements about the Company’s beliefs and expectations regarding its planned business model and strategy, its bitcoin mining and HPC data center development, timing and likelihood of success, capacity, functionality and operation of data centers, expectations regarding the operations of data centers, such as projected hashrate, potential strategic initiatives, such as joint ventures and partnerships, and management plans and objectives, are forward-looking statements and should be evaluated as such. These forward-looking statements generally are identified by the words “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “seeks,” “intends,” “targets,” “projects,” “contemplates,” “believes,” “estimates,” “strategy,” “future,” “forecasts,” “opportunity,” “predicts,” “potential,” “would,” “will likely result,” “continue,” and similar expressions (including the negative versions of such words or expressions).
These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by Cipher and its management, are inherently uncertain. Such forward-looking statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. New risks and uncertainties may emerge from time to time, and it is not possible to predict all risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: volatility in the price of Cipher’s securities due to a variety of factors, including changes in the competitive and regulated industry in which Cipher operates, Cipher’s evolving business model and strategy and efforts it may make to modify aspects of its business model or engage in various strategic initiatives, variations in performance across competitors, changes in laws and regulations affecting Cipher’s business, and the ability to implement business plans, forecasts, and other expectations and to identify and realize additional opportunities. The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of Cipher’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024 filed with the Securities and Exchange Commission (“SEC”) on February 25, 2025, Cipher’s Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2025 filed with the SEC on August 7, 2025, and in Cipher’s subsequent filings with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and Cipher assumes no obligation and, except as required by law, does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise.
Website Disclosure
The company maintains a dedicated investor website at https://investors.ciphermining.com/ (“Investors’ Website”). Financial and other important information regarding the Company is routinely posted on and accessible through the Investors’ Website. Cipher uses its Investors’ Website as a distribution channel of material information about the Company, including through press releases, investor presentations, reports and notices of upcoming events. Cipher intends to utilize its Investors’ Website as a channel of distribution to reach public investors and as a means of disclosing material non-public information for complying with disclosure obligations under Regulation FD. In addition, you may sign up to automatically receive email alerts and other information about the Company by visiting the “Email Alerts” option under the Investor Resources section of Cipher’s Investors’ Website and submitting your email address.
Non-GAAP Financial Measures
This press release includes a supplemental financial measure for Net Operating Income (NOI) Margin, which the Company defines as follows: NOI Margin represents rental revenue less rental property operating expenses, property taxes and insurance expenses (as recorded in the Company’s consolidated statements of operations) divided by rental revenue. NOI Margin is commonly used by stockholders, the Company’s management and industry analysts as a measurement of operating performance of the Company’s rental portfolio. However, because NOI Margin excludes depreciation and amortization and captures neither the changes in the value of the Company’s data centers that result from use or market conditions, nor the level of capital expenditures and capitalized leasing commissions necessary to maintain the operating performance of the Company’s data centers, all of which have real economic effect and could materially impact the Company’s consolidated results of operations, the utility of NOI Margin as a measure of the Company’s performance is limited. Other companies, including Real Estate Investment Trusts, may calculate NOI Margin differently than we do and, accordingly, our NOI Margin may not be comparable to these companies’ NOI Margin. This supplemental financial measure is not a measurement of financial performance under accounting principles generally accepted in the United States (“GAAP”) and, as a result, this supplemental financial measure may not be comparable to similarly titled measures of other companies. Management uses this non-GAAP financial measure internally to help understand, manage, and evaluate our business performance and to help make operating decisions. We believe the use of this non-GAAP financial measure can also facilitate comparison of our operating results to those of our competitors by excluding certain items that vary in our industry based on company policy.
Non-GAAP financial measures are subject to material limitations as they are not in accordance with, or a substitute for, measurements prepared in accordance with GAAP. For example, we expect that share-based compensation expense, which is excluded from the non-GAAP financial measure, will continue to be a significant recurring expense over the coming years and is an important part of the compensation provided to certain employees, officers and directors. Similarly, we expect that depreciation and amortization will continue to be a recurring expense over the term of the useful life of the related assets. Our non-GAAP financial measures are not meant to be considered in isolation and should be read only in conjunction with our condensed consolidated financial statements included elsewhere in this press release, which have been prepared in accordance with GAAP. We rely primarily on such condensed consolidated financial statements to understand, manage and evaluate our business performance and use the non-GAAP financial measures only supplementally.
Contacts:
Investor Contact:
Courtney Knight
Head of Investor Relations at Cipher Mining
courtney.knight@ciphermining.com
Media Contact:
Ryan Dicovitsky
Dukas Linden Public Relations
CipherMining@DLPR.com
FAQ
What is the value of Cipher Mining's (CIFR) agreement with Fluidstack?
How much capacity will Cipher Mining (CIFR) provide to Fluidstack?
What is Google's involvement in the Cipher Mining (CIFR) and Fluidstack deal?
What are the project costs for Cipher Mining's (CIFR) Fluidstack agreement?
How large is Cipher Mining's (CIFR) remaining development pipeline?
