FTFT Subsidiary Signs Agreement to Procure Power Supply for its Planned Cryptocurrency Mining Farm in the US
Future FinTech Group (NASDAQ: FTFT) announced a significant Electricity Sales and Purchase Agreement with Champion Energy Services, LLC on April 22, 2022. This agreement will provide 15.58 MW of electricity for FTFT SuperComputing's cryptocurrency mining farm in Northwest Ohio, starting July 1, 2022, and lasting six years. The mining project, initially estimated at $62 million, aims to deploy around 12,000 S19 Antminers, generating approximately 1.3 EH/s of hash power. The first phase will allocate $12 million for site acquisition and plant development.
- Electricity agreement secured for cryptocurrency farm, ensuring power supply.
- Mining farm project expected to enhance operational capacity with 12,000 Antminers.
- Potential revenue generation from expanding cryptocurrency operations.
- High initial investment of $62 million raises financial risk.
- Dependence on energy supplier may affect operational flexibility.
NEW YORK, May 3, 2022 /PRNewswire/ -- Future FinTech Group Inc. (NASDAQ: FTFT) ("hereinafter referred to as "Future FinTech", "FTFT" or "the Company"), a leading blockchain-based e-commerce business and a fintech service provider, announced today that on April 22, 2022, its wholly-owned subsidiary, FTFT SuperComputing Inc. ("FTFT SuperComputing"), signed an Electricity Sales and Purchase Agreement (the "Agreement") with Champion Energy Services, LLC ("Champion Energy"). The Agreement stipulates that Champion Energy is obligated to provide 15.58 MW of electricity for the development of the Company's planned cryptocurrency farm in Northwest Ohio. The Agreement has a provision for a hybrid pricing plan that includes a fixed and index combination and is customer-specific to changes in FTFT SuperComputing's energy needs. The start date for the sale and delivery of electricity is anticipated to be July 1, 2022, and the Agreement has a term of six years.
In December 2021, the Company announced its plan to build a cryptocurrency mining farm in the US which, if successful, the first phase could deploy approximately 12,000 S19 Antminers and accommodate about 1.3 EH/s of hash power. The total investment for the cryptocurrency mining farm project is estimated to be
Champion Energy is an electricity provider that services residential, governmental, commercial and industrial customers in eight states. They are a subsidiary of Calpine, one of the largest generators of electricity in the US.
Mr. Kai Xu, Chief Inspector of Future FinTech's Blockchain Division, said, "We are pleased to have entered into this agreement to obtain the needed power supply to enable us to develop a cryptocurrency mining farm in the US. Our strategic plan for this business segment is to develop cryptocurrency mining farms in different regions of the world and accelerate their deployment by using our own capabilities or through cooperation agreements with strong partners. We believe that planned cryptocurrency farm in Ohio will be successful and will meet the goals that we have set out for it."
About Future FinTech Group Inc.
Future FinTech Group Inc. is a leading blockchain e-commerce company and a service provider for financial technology incorporated in Florida. The Company's operations include a blockchain-based online shopping mall platform, Chain Cloud Mall ("CCM"), supply chain financing services, and cryptocurrency market data services. The Company is also engaged in the development of blockchain based e-Commerce technology and cryptocurrency mining, cryptocurrency investment management as well as financial service technology businesses. For more information, please visit http://www.ftft.com/.
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SOURCE Future FinTech Group Inc.
FAQ
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