HIVE Digital Technologies Announces Plans to Build 100 MW Hydroelectric Data Center in Paraguay, Targeting to Double Revenue and Increase Hashrate to Over 12 Exahash in the Next Year
HIVE Digital Technologies (TSXV: HIVE) (NASDAQ: HIVE) has announced plans to construct a 100 megawatt digital asset mining operation in Paraguay, utilizing green energy from the Itaipu hydroelectric dam. This project is expected to add up to 6.5 Exahash per second (EH/s) to HIVE's Bitcoin mining operations, potentially increasing their global hashrate to 12.1 EH/s. The company aims to generate over $100 million in stable U.S. dollar revenue for Paraguay's utility company over the next three years.
HIVE has also acquired 500 Bitmain S21 Pro Antminers, expecting to increase its total operational hashrate to 5.6 EH/s. As of July 21, 2024, HIVE's HODL position increased to 2,521 BTC, valued at over $170 million. The company has granted 2,491,000 restricted share units (RSUs) to employees, officers, directors, and eligible consultants to align interests with long-term success.
HIVE Digital Technologies (TSXV: HIVE) (NASDAQ: HIVE) ha annunciato piani per realizzare un impianto di mining di asset digitali da 100 megawatt in Paraguay, utilizzando energia verde proveniente dalla diga idroelettrica di Itaipu. Si prevede che questo progetto aggiunga fino a 6,5 Exahash al secondo (EH/s) alle operazioni di mining di Bitcoin di HIVE, potenzialmente aumentando il loro hashrate globale a 12,1 EH/s. L'azienda punta a generare oltre 100 milioni di dollari in entrate stabili in dollari USA per l'azienda elettrica del Paraguay nei prossimi tre anni.
HIVE ha anche acquisito 500 Bitmain S21 Pro Antminers, prevedendo di aumentare il suo hashrate operativo totale a 5,6 EH/s. Al 21 luglio 2024, la posizione HODL di HIVE è aumentata a 2.521 BTC, valutata oltre 170 milioni di dollari. L'azienda ha concesso 2.491.000 unità di azioni riservate (RSUs) a dipendenti, funzionari, direttori e consulenti idonei per allineare gli interessi con il successo a lungo termine.
HIVE Digital Technologies (TSXV: HIVE) (NASDAQ: HIVE) ha anunciado planes para construir una operación de minería de activos digitales de 100 megavatios en Paraguay, utilizando energía verde de la represa hidroeléctrica de Itaipú. Se espera que este proyecto añada hasta 6.5 Exahash por segundo (EH/s) a las operaciones de minería de Bitcoin de HIVE, aumentando potencialmente su tasa de hash global a 12.1 EH/s. La empresa busca generar más de 100 millones de dólares en ingresos estables en dólares estadounidenses para la compañía eléctrica de Paraguay en los próximos tres años.
HIVE también ha adquirido 500 Bitmain S21 Pro Antminers, esperando aumentar su tasa de hash operacional total a 5.6 EH/s. A fecha del 21 de julio de 2024, la posición HODL de HIVE ha aumentado a 2,521 BTC, valorados en más de 170 millones de dólares. La empresa ha otorgado 2,491,000 unidades restringidas de acciones (RSUs) a empleados, funcionarios, directores y consultores elegibles para alinear los intereses con el éxito a largo plazo.
HIVE 디지털 테크놀로지스 (TSXV: HIVE) (NASDAQ: HIVE)는 파라과이에 100메가와트 디지털 자산 채굴 시설을 건설할 계획을 발표했습니다. 이는 이타이푸 수력 발전소의 친환경 에너지를 활용할 것입니다. 이 프로젝트는 HIVE의 비트코인 채굴 운영에 최대 6.5 엑사해시(Exahash) 초당(EH/s)를 추가하여, 그들의 전 세계 해시레이트를 12.1 EH/s로 증가시킬 것으로 예상됩니다. 이 회사는 앞으로 3년 동안 파라과이의 전력 회사에 1억 달러 이상의 안정적인 수익을 창출하는 것을 목표로 하고 있습니다.
HIVE는 또한 500개의 Bitmain S21 Pro Antminers를 인수하여, 총 운영 해시레이트를 5.6 EH/s로 증가시킬 것으로 기대하고 있습니다. 2024년 7월 21일 현재 HIVE의 HODL 포지션은 2,521 BTC로 증가했으며, 이는 1억 7천만 달러 이상의 가치가 있습니다. 이 회사는 직원, 임원, 이사 및 적격 컨설턴트에게 장기적인 성공을 위해 2,491,000개의 제한적 주식 단위(RSUs)를 부여했습니다.
HIVE Digital Technologies (TSXV: HIVE) (NASDAQ: HIVE) a annoncé des plans pour construire une opération de minage d'actifs numériques de 100 mégawatts au Paraguay, utilisant une énergie verte provenant du barrage hydroélectrique d'Itaipu. Ce projet devrait ajouter jusqu'à 6,5 Exahash par seconde (EH/s) aux opérations de minage de Bitcoin de HIVE, augmentant potentiellement leur taux de hash global à 12,1 EH/s. L'entreprise vise à générer plus de 100 millions de dollars de revenus stables en dollars américains pour la compagnie d'électricité du Paraguay au cours des trois prochaines années.
HIVE a également acquis 500 Bitmain S21 Pro Antminers, s'attendant à augmenter son taux de hash opérationnel total à 5,6 EH/s. Au 21 juillet 2024, la position HODL de HIVE est passée à 2 521 BTC, d'une valeur de plus de 170 millions de dollars. L'entreprise a accordé 2 491 000 unités d'actions restreintes (RSUs) à ses employés, dirigeants, administrateurs et consultants éligibles pour aligner les intérêts avec le succès à long terme.
HIVE Digital Technologies (TSXV: HIVE) (NASDAQ: HIVE) hat Pläne angekündigt, eine 100 Megawatt große digitale Asset-Mining-Anlage in Paraguay zu errichten, die erneuerbare Energie aus dem Wasserkraftwerk Itaipu nutzen wird. Es wird erwartet, dass dieses Projekt bis zu 6,5 Exahash pro Sekunde (EH/s) zu HIVEs Bitcoin-Mining-Betrieb hinzufügt und damit ihre globale Hashrate auf 12,1 EH/s erhöhen könnte. Das Unternehmen strebt an, in den nächsten drei Jahren über 100 Millionen Dollar an stabilen Einnahmen in US-Dollar für das Versorgungsunternehmen Paraguay zu generieren.
HIVE hat außerdem 500 Bitmain S21 Pro Antminer erworben und erwartet, dass die gesamte operative Hashrate auf 5,6 EH/s steigen wird. Am 21. Juli 2024 hatte sich das HODL-Volumen von HIVE auf 2.521 BTC erhöht, was über 170 Millionen Dollar wert ist. Das Unternehmen hat 2.491.000 eingeschränkte Aktieneinheiten (RSUs) an Mitarbeiter, Führungskräfte, Direktoren und berechtigte Berater vergeben, um die Interessen langfristig auszurichten.
- Planned 100 MW digital asset mining operation in Paraguay expected to add 6.5 EH/s to Bitcoin mining operations
- Potential increase of global hashrate to 12.1 EH/s
- Acquisition of 500 Bitmain S21 Pro Antminers, increasing operational hashrate to 5.6 EH/s
- HODL position increased to 2,521 BTC, valued at over $170 million
- Expected to generate over $100 million in stable U.S. dollar revenue for Paraguay's utility company over 3 years
- Project in Paraguay subject to final agreements, due diligence, board approval, and regulatory approvals
HIVE Digital Technologies' announcement to build a 100 MW hydroelectric data center in Paraguay is a strategic move that can have substantial financial implications. By leveraging green energy from the Itaipu hydroelectric dam, HIVE is not only aligning with sustainable practices but also positioning itself to take advantage of lower energy costs, which is a significant expense in the digital asset mining industry. The projected increase in HIVE's hashrate to 12.1 EH/s will enhance its competitive position in the market. Furthermore, revenue generation of over $100 million for the Paraguayan government utility company over three years demonstrates a potential for stable income streams, which is beneficial for both HIVE and local stakeholders. The financial performance of HIVE will likely see an improvement, given the expected operational efficiencies and increased mining capacity. Investors should monitor the execution of this project and its impact on revenue growth and profitability.
HIVE's acquisition of 500 Bitmain S21 Pro Antminers reflects a commitment to maintaining cutting-edge technology in its operations. The S21 Pro Antminers offer a hashrate of 234 Terahash per second with an efficiency of 15 J/TH, making them among the most efficient mining machines currently available. This upgrade is important for HIVE to stay competitive in the rapidly evolving Bitcoin mining industry, where efficiency directly impacts profitability. The planned increase in hashrate to 5.6 EH/s once these miners are fully deployed shows a clear strategy to enhance mining output and operational efficiency. This technological upgrade will likely contribute to HIVE's overall goal of doubling its revenue and increasing its Bitcoin holdings, making it a more attractive company within the digital asset mining sector.
HIVE's strategic expansion into Paraguay is not just about increasing its mining capacity but also about diversifying its geographical presence. By engaging in a country with a business-friendly environment and stable fiscal policies, HIVE is reducing its dependence on any single market. The use of hydroelectric power aligns with global trends towards sustainability and could attract environmentally conscious investors. The local job creation and economic contributions further enhance HIVE's reputation and community engagement, making it a socially responsible investment. The decision to pay energy bills in U.S. dollars provides a strategic currency hedge, offering financial stability in volatile markets. This initiative positions HIVE as a forward-thinking company that balances technological advances with sustainable and socially responsible practices.
Vancouver, British Columbia--(Newsfile Corp. - July 22, 2024) - HIVE Digital Technologies Ltd. (TSXV: HIVE) (NASDAQ: HIVE) (FSE: YO0) ("HIVE" or the "Company"), a leading digital asset miner and "green"-focused data center builder and operator, today announced its plans for constructing a 100 megawatt ("MW") digital asset mining operation in Paraguay. After touring the country and meeting with President Santiago Peña and his senior cabinet ministers, HIVE endorses his vision for a business-friendly Paraguay (all amounts in US dollars, unless otherwise indicated).
Frank Holmes, HIVE's Executive Chairman stated: "We are thrilled to announce our plan for a 100 MW project in Paraguay, utilizing green and clean energy sourced from the Itaipu hydroelectric dam. This potential opportunity is expected to add up to an additional 6.5 Exahash per second (EH/s) to our Bitcoin mining operations, increasing our global EH/s to 12.1 EH/s. This represents a significant milestone in our diversified growth strategy and supports our commitment to expanding our global footprint with data center operations in Canada, Sweden, Iceland and now Paraguay. We are confident that this venture can deliver healthy returns and drive long-term value, fostering economic growth and innovation in the region."
Stability in government fiscal policies, such as energy pricing and taxation, will be a key factor in our future expansion considerations relating to continued growth in Paraguay. Infrastructure projects such as data centers require significant foreign direct investment and a large scale project, such as a 100 MW data center, is expected to generate over
With global demand for Bitcoin on the rise, and the successful launch of U.S.-based ETFs Bitcoin has become adopted and emerges as an attractive alternative asset for investors.
As a Canadian public company, HIVE remains committed to full transparency and community engagement, creating local jobs and providing a stable income stream that benefits the national economy.
By hiring locally, the Company aims to contribute to regional economic growth, providing meaningful employment opportunities and fostering education and skill development.
In Paraguay, HIVE will offer its experience and expertise in grid balancing and demand response to support continued industrial development, while monetizing surplus or under-monetized power assets. Additionally, as the Company's energy bills will be paid in U.S. dollars, its operations in Paraguay offer a unique opportunity for the government by providing stable monthly U.S. dollar income, acting as a strategic currency hedge, and ensuring financial stability in an increasingly volatile global currency market. In 2023, electricity exports constituted approximately
HIVE is proud to be at the forefront of sustainable and ethical Bitcoin mining practices. By leveraging renewable hydroelectric power, the Company minimizes its environmental footprint while contributing to the global transition toward greener energy solutions. This commitment to sustainability benefits the environment and aligns with growing consumer demand for eco-friendly business practices, differentiating Hive's strategy from industry peers.
Executive Chairman Frank Holmes, Chief Operating Officer Luke Rossy, Hive Sweden Country President Johanna Thornblad, and General Legal Counsel Gabriel Ibghy were on the initial scoping trip to Paraguay. Frank Holmes added that both Johanna and Gabriel speak Spanish and together have experience navigating cultural and business landscapes in Latin America. Gabriel Ibghy said, "We have made significant progress in identifying the data center site and securing construction and power supply contracts. The transaction is subject to final agreements, due diligence, board approval, and regulatory approvals. We will announce further details soon."
Fleet Upgrade and Equipment Purchase
HIVE's Chief Operating Officer Luke Rossy is also pleased to announce "that in addition to touring the beautiful country of Paraguay, meeting with the President and his ministers and seeing the huge potential for growth; we have acquired an additional 500 Bitmain S21 Pro Antminers to maintain our cadence in upgrading our equipment every month. S21 Pro's are the latest and most efficient machines on the market, with a hashrate of 234 Terahash per second and an efficiency of 15 J/TH. These units are expected to ship this month and are integral to the Company's strategy of continually upgrading its fleet while growing its HODL position." HIVE expects its total operational hashrate to increase to 5.6 EH/s once the miners are fully installed.
Strategic HODL Increase:
As of July 21, 2024, HIVE's HODL position increased to 2,521 BTC, up from 2,496 BTC at the end of June 2024. With a Bitcoin HODL value of over
Incentive Grants
Extensive research by Harvard Business School (HBS) highlights the importance of non-linear or dynamic rewards and variable long-term incentives in building long-term culture, morale, and employee retention. Non-linear incentives align employees' interests with the Company's long-term success, fostering a culture of innovation, resiliency, and motivating employees to pursue creative and strategic initiatives crucial for sustained growth and competitive advantage.
The management team or board has not received RSUs or options for 18 months, while management has delivered operating income every quarter during the market turmoil that saw Bitcoin prices fall to
Accordingly, HIVE announces today the granting of 2,491,000 restricted share units (RSUs) to certain employees, officers, directors, and eligible consultants. The RSUs were issued pursuant to the Company's RSU plan and are subject to the statutory one-year minimum vesting period imposed by the TSX Venture Exchange.
About HIVE Digital Technologies Ltd.
HIVE Digital Technologies Ltd. went public in 2017 as the first cryptocurrency mining company listed for trading on the TSX Venture Exchange with a focus on sustainable green energy.
HIVE is a growth-oriented technology stock in the emergent blockchain industry. As a company whose shares trade on major stock exchanges, we are building a bridge between the digital currency and blockchain sector and traditional capital markets. HIVE owns and operates state-of-the-art, green energy-powered data center facilities in Canada, Sweden, and Iceland, where we endeavour to source green energy to mine digital assets such as Bitcoin on the cloud. Since the beginning of 2021, HIVE has held in secure storage the majority of its treasury of BTC derived from mining rewards. Our shares provide investors with exposure to the operating margins of digital currency mining, as well as a portfolio of Bitcoin. Because HIVE also owns hard assets such as data centers and advanced multi-use servers, we believe our shares offer investors an attractive way to gain exposure to the cryptocurrency space.
Environmental Sustainability:
- Green Energy: By sourcing green renewable energy, HIVE is committed to environmental responsibility, positioning itself as a leader in sustainable cryptocurrency mining.
- Competitive Advantage: We believe this environmentally conscious approach sets HIVE apart from competitors and aligns with evolving investor preferences.
Expansion into AI Strategy:
- Diversification: HIVE's diversification into HPC enables us to support artificial intelligence (AI) using Nvidia GPU chips, showcasing our adaptability and innovation beyond traditional Bitcoin mining.
- Revenue Streams: This strategic move into HPC broadens HIVE's revenue streams and places it at the forefront of technological advancements in both cryptocurrency and AI industries.
HIVE's unique value proposition encompasses efficient operations, a proven agile management team, financial strength, environmental sustainability, and innovative expansion strategies. Beyond Bitcoin mining, HIVE is firmly part of the global boom in data center infrastructure, sourcing primarily green renewable energy.
HIVE presents a unique growth opportunity with over 2,400 Bitcoins on its balance sheet and growing revenue from its suite of Nvidia GPU chips powering data services for the AI revolution.
We encourage you to visit HIVE's YouTube channel here to learn more about HIVE.
For more information and to register to HIVE's mailing list, please visit www.HIVEdigitaltechnologies.com. Follow @HIVEDigitalTech on Twitter and subscribe to HIVE's YouTube channel.
On Behalf of HIVE Digital Technologies Ltd.
"Frank Holmes"
Executive Chairman
For further information please contact:
Frank Holmes
info@hivedigitaltech.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
Forward-Looking Information
Except for the statements of historical fact, this news release contains "forward-looking information" within the meaning of the applicable Canadian securities legislation that is based on expectations, estimates and projections as at the date of this news release. "Forward-looking information" in this news release includes information about: business goals and objectives of the Company; the completion of the site selection, facility construction, power contracts and related transactions contemplated to construct a 100 MW Hydroelectric Data Center in Paraguay, including the receipt of all required regulatory approvals; the benefits of geographical diversification and the ability to operate the business in Paraguay on terms which are economic or at all; the acquisition, deployment and optimization of the mining fleet and equipment; the continued viability of its existing Bitcoin mining operations; the Company's program to build a high-performance computing business offering cloud computing services; the Company's operations and sustainable future profitability; potential further improvements to the profitability and efficiency across mining operations by optimizing cryptocurrency mining output, continuing to lower direct mining operations cost structure, and maximizing existing electrical and infrastructure capacity including with new mining equipment in existing facilities; continued adoption of Bitcoin globally; the potential for the Company's long term growth; the business goals and objectives of the Company, and other forward-looking information includes but is not limited to information concerning the intentions, plans and future actions of the parties to the transactions described herein and the terms thereon.
Factors that could cause actual results to differ materially from those described in such forward looking information include, but are not limited to: the inability to complete and conduct operations in Paraguay on terms which are economic or at all; the volatility of the digital currency market; the Company's ability to successfully mine digital currency; the Company may not be able to profitably liquidate its current digital currency inventory as required, or at all; a material decline in digital currency prices may have a significant negative impact on the Company's operations; the Company's ability to compete successfully with other cloud computing service providers; the regulatory environment for cryptocurrency in Canada, the United States and the countries where our mining facilities are located; economic dependence on regulated terms of service and electricity rates; the speculative and competitive nature of the technology sector; dependency on continued growth in blockchain and cryptocurrency usage; lawsuits and other legal proceedings and challenges; government regulations; the global economic climate; dilution; future capital needs and uncertainty of additional financing, as well as capital market conditions in general; risks relating to the strategy of maintaining and increasing Bitcoin holdings and the impact of depreciating Bitcoin prices on working capital; the competitive nature of the industry; currency exchange risks; the need for the Company to manage its planned growth and expansion; the effects of product development and need for continued technology change; the ability to maintain reliable and economical sources of power to run its cryptocurrency mining assets; the impact of energy curtailment or regulatory changes in the energy regimes in the jurisdictions in which the Company operates; protection of proprietary rights; the effect of government regulation and compliance on the Company and the industry; network security risks; the ability of the Company to maintain properly working systems; reliance on key personnel; global economic and financial market deterioration impeding access to capital or increasing the cost of capital; share dilution resulting from equity issuances; the construction and operation of facilities may not occur as currently planned, or at all; expansion may not materialize as currently anticipated, or at all; the digital currency market; the ability to successfully mine digital currency; revenue may not increase as currently anticipated, or at all; it may not be possible to profitably liquidate the current digital currency inventory, or at all; a decline in digital currency prices may have a significant negative impact on operations; an increase in network difficulty may have a significant negative impact on operations; the volatility of digital currency prices; the anticipated growth and sustainability of electricity for the purposes of cryptocurrency mining in the applicable jurisdictions; the inability to maintain reliable and economical sources of power for the Company to operate cryptocurrency mining assets; the risks of an increase in the Company's electricity costs, cost of natural gas, changes in currency exchange rates, energy curtailment or regulatory changes in the energy regimes in the jurisdictions in which the Company operates and the adverse impact on the Company's profitability; the ability to complete current and future financings, any regulations or laws that will prevent the Company from operating its business; historical prices of digital currencies and the ability to mine digital currencies that will be consistent with historical prices; an inability to predict and counteract the effects of pandemics on the business of the Company, including but not limited to the effects of pandemics on the price of digital currencies, capital market conditions, restriction on labour and international travel and supply chains; and, the adoption or expansion of any regulation or law that will prevent the Company from operating its business, or make it more costly to do so; and other related risks as more fully set out in the Company's disclosure documents under the Company's filings at www.sec.gov/EDGAR and www.sedarplus.ca.
The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company. In connection with the forward-looking information contained in this news release, the Company has made assumptions about the Company's ability to realize operational efficiencies going forward into profitability; profitable use of the Company's assets going forward; the Company's ability to profitably liquidate its digital currency inventory as required; historical prices of digital currencies and the ability of the Company to mine digital currencies will be consistent with historical prices; and there will be no regulation or law that will prevent the Company from operating its business. The Company has also assumed that no significant events occur outside of the Company's normal course of business. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
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FAQ
What is HIVE Digital Technologies' plan for expansion in Paraguay?
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