BitNile Holdings Issues January Bitcoin Production and Mining Operation Report

Rhea-AI Summary

BitNile Holdings, Inc. (AMEX:NILE) has released an update on its Bitcoin production, reporting an estimated annualized run rate of 327.26 Bitcoin. The company has received 2,185 S19j Pro Antminers, with 1,860 currently operational, generating approximately 189 petahashes per second. In January 2022, BitNile self-mined 27.19 Bitcoin, totaling 74.98 Bitcoin to date. The company expects to average one Bitcoin mined daily in February, bolstered by ongoing miner installations. BitNile is on track to achieve a mining capacity of 2.24 exahashes per second with future miner deployments.

Positive

• Estimated annualized Bitcoin run rate of 327.26 BTC.
• 1,860 active miners generating approximately 189 petahashes per second.
• In January 2022, self-mined 27.19 Bitcoin, totaling 74.98 Bitcoin to date.
• Anticipates averaging one Bitcoin mined daily in February 2022.

Negative

• Mining production capacity remains dependent on fluctuating Bitcoin prices and mining difficulty.

LAS VEGAS--(BUSINESS WIRE)-- BitNile Holdings, Inc. (NYSE American: NILE), a diversified holding company (“BitNile” or the “Company”), today published an unaudited update on Bitcoin production and miner installation. The number of miners and production capacity metrics within this press release represent the S19j Pro Antminers at the Michigan data center. BitNile’s Bitcoin mining production is currently operating at an estimated annualized run rate of 327.26 Bitcoin based on current market conditions, including a mining difficulty of 26.6 trillion.

BitNile has received 2,185 S19j Pro Antminers with 1,860 active miners generating a combined processing power of approximately 189 petahashes per second, the computational power that is being used to mine Bitcoin. During the month of January 2022, BitNile self-mined 27.19 Bitcoin. To date, BitNile has mined a total of 74.98 Bitcoin. As previously planned, BitNile completed the sale of the 1,600 S9 Antminers at the Indiana location.

Milton “Todd” Ault, III, the Company’s Executive Chairman, stated, “We are pleased that the team has been creatively working through supply chain delays and Bitcoin price fluctuations to keep our operations on track and mining profitably. We anticipate that in the month of February, we will achieve an average of at least one Bitcoin per day in mining activity, based on expected miner installations and current difficulty levels, which will contribute nicely to our overall top line revenue.”

As a reminder, BitNile has entered into purchase agreements with Bitmain Technologies Limited (“Bitmain”) for a total of 20,600 Bitcoin miners, including 4,600 environmentally friendly S19 XP Antminers that feature a processing power of 140 terahashes per second (“TH/s”) and 16,000 S19j Pro Antminers that feature a processing power of 100 TH/s.

BitNile began receiving 300 S19j Pro Antminers per month in November 2021 in accordance with the purchase agreement with Bitmain. Beginning in March 2022, this schedule will increase to an expected 2,300 miners per month. Once all 20,600 miners are fully deployed and operational, BitNile is expected to achieve mining production capacity of approximately 2.24 exahashes per second.

The Company continues to provide the following projected price sensitivity analysis of total Bitcoin mining revenue, presuming the installation of 20,600 Bitcoin miners and a mining difficulty level of 26.6 trillion:

Price Sensitivity Analysis for 20,600 Bitcoin Miners
Bitcoin Price			Gross Bitcoin Mining Revenue (Estimate)			Bitcoin Mining Revenue, Net of Power Costs (Estimate)
$	20,000		$	77,400,000		$	47,200,000		61	%
$	25,000		$	96,800,000		$	66,500,000		69	%
$	30,000		$	116,100,000		$	85,900,000		74	%
$	35,000		$	135,500,000		$	105,200,000		78	%
$	40,000		$	154,900,000		$	124,600,000		80	%
$	45,000		$	174,200,000		$	143,900,000		83	%
$	50,000		$	193,600,000		$	163,300,000		84	%
$	55,000		$	212,900,000		$	182,700,000		86	%
$	60,000		$	232,300,000		$	202,000,000		87	%
$	65,000		$	251,600,000		$	221,400,000		88	%

The Company notes that all estimates and other projections are subject to the actual delivery and installation of Bitcoin miners, the volatility in Bitcoin market price, the fluctuation in the mining difficulty level, and other factors that may impact the results of production or operations.

For more information on BitNile and its subsidiaries, BitNile recommends that stockholders, investors, and any other interested parties read BitNile’s public filings and press releases available under the Investor Relations section at www.BitNile.com or available at www.sec.gov.

About BitNile Holdings, Inc.

BitNile Holdings, Inc. is a diversified holding company pursuing growth by acquiring undervalued businesses and disruptive technologies with a global impact. Through its wholly and majority-owned subsidiaries and strategic investments, BitNile owns and operates a data center at which it mines Bitcoin and provides mission-critical products that support a diverse range of industries, including defense/aerospace, industrial, automotive, telecommunications, medical/biopharma, and textiles. In addition, BitNile extends credit to select entrepreneurial businesses through a licensed lending subsidiary. BitNile’s headquarters are located at 11411 Southern Highlands Parkway, Suite 240, Las Vegas, NV 89141; www.BitNile.com.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the U.S. Securities and Exchange Commission, including, but not limited to, the Company’s Forms 10-K, 10-Q and 8-K. All filings are available at www.sec.gov and on the Company’s website at www.BitNile.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220202005426/en/

BitNile Holdings Investor Contact:

IR@BitNile.com or 1-888-753-2235

Source: BitNile Holdings, Inc.

FAQ

What is BitNile Holdings' current Bitcoin production status?

BitNile Holdings, Inc. estimates an annualized Bitcoin run rate of 327.26 Bitcoin as of February 2022.

How many miners does BitNile currently have operational?

As of now, BitNile has 1,860 operational miners out of 2,185 S19j Pro Antminers received.

How much Bitcoin did BitNile mine in January 2022?

In January 2022, BitNile self-mined 27.19 Bitcoin.

What are the expected future mining capabilities of BitNile Holdings?

BitNile expects to achieve a mining capacity of approximately 2.24 exahashes per second as more miners are deployed.

What challenges does BitNile face in its Bitcoin mining operations?

BitNile's mining production capacity is impacted by the volatility of Bitcoin prices and variations in mining difficulty levels.