Riot Announces July 2023 Production and Operations Updates

Rhea-AI Summary

Riot Platforms, Inc. announces unaudited production and operations updates for July 2023. The company produced 410 Bitcoin, generated $6.4 million in power credits, and $1.8 million in demand response credits. Replacement dry coolers for repairing Building G have begun shipping. Riot anticipates achieving a total self-mining hash rate capacity of 12.5 EH/s in the second half of 2023.

Positive

• Riot produced 410 Bitcoin in July, a 11% decrease from June but a 29% increase from July 2022.
• The average net price per Bitcoin sold was $30,293, a 15% increase from June and a 50% increase from July 2022.
• Riot's power strategy generated $6.4 million in power credits and $1.8 million in demand response credits in July.
• Riot anticipates achieving a total self-mining hash rate capacity of 12.5 EH/s in the second half of 2023.

Negative

• None.

Riot Produces 410 Bitcoin While Expanding Execution of Power Strategy

CASTLE ROCK, Colo., Aug. 03, 2023 (GLOBE NEWSWIRE) -- Riot Platforms, Inc. (NASDAQ: RIOT) (“Riot” or “the Company”), an industry leader in Bitcoin (“BTC”) mining and data center hosting, announces unaudited production and operations updates for July 2023.

Bitcoin Production and Operations Updates for July 2023

					Comparison (%)
Metric	July 2023	June 2023	July 2022		Month/Month	Year/Year
Bitcoin Produced	410	460	318		-11%	29%
Average Bitcoin Produced per Day	13.2	15.3	10.2		-14%	29%
Bitcoin Held1	7,275	7,265	6,696		0%	9%
Bitcoin Sold	400	400	275		0%	45%
Bitcoin Sales - Net Proceeds	$12.1 million	$10.6 million	$5.6 million		15%	117%
Average Net Price per Bitcoin Sold	$30,293	$26,456	$20,262		15%	50%
Deployed Hash Rate1	10.7 EH/s2	10.7 EH/s2	4.2 EH/s		0%	157%
Deployed Miners1	95,9042	95,9042	40,311		0%	138%
Power Credits3,5	$6.4 million6	$8.4 million	$9.4 million		-24%	-32%
Demand Response Credits4,5	$1.8 million6	$1.7 million	$0.4 million		5%	376%

1. As of end of month.
2. Exahash per second (“EH/s”). Excludes 17,040 miners that are offline as a result of damage to Building G from the severe winter weather in late December 2022 in Texas.
3. Power curtailment credits received from the Company’s ability, under its long-term power contracts, to sell power back to the ERCOT grid at market-driven spot prices.
4. Credits received from participation in ERCOT demand response programs.
5. The Company discloses this figure in its monthly updates if it exceeds $1 million for the current month.
6. Power Credits and Demand Response Credits for July 2023 are estimates.

“Riot had another strong month in July amidst some of the most challenging operating months of the year, as temperatures in Texas have soared,” said Jason Les, CEO of Riot. “Riot’s self-mining operations mined 410 Bitcoin in the month of July, while our power strategy generated $6.4 million in power credits and $1.8 million in demand response credits. Our team was able to navigate rapidly changing power market and Bitcoin mining conditions in order to maximize value on a real time basis through our power strategy.

“I’m also excited to announce that the replacement dry coolers for repairing Building G have begun shipping, with units beginning to arrive in August. The replacement dry coolers are the final piece to the repairs in Building G and as they are received and installed, miners will begin ramping back up. Hash rate is expected to begin coming back online in the beginning of September until it reaches full capacity of 2.4 EH/s over the coming months.”

Estimated Hash Rate Growth

As previously disclosed, Riot is in the process of repairing damage incurred in Building G during the severe winter storm in Texas in December 2022, and Riot now anticipates achieving a total self-mining hash rate capacity of 12.5 EH/s at its Rockdale Facility in the second half of 2023.

The Company has also entered into a long-term purchase agreement with MicroBT, which includes an initial order of 7.6 EH/s of next-generation Bitcoin miners for its Corsicana Facility. Upon full deployment of this initial order by mid-2024, Riot’s total self-mining hash rate capacity is expected to reach 20.1 EH/s.

Riot’s Power Strategy Helps to Stabilize Texas Energy Grid During July Heat Wave

In July 2023, Texas experienced extreme heat, causing demand for electricity to spike, in some cases extremely close to available supply. On certain dates of peak demand, Riot curtailed more than 90% of its power usage, temporarily forgoing revenue from its Bitcoin mining operations and instead providing energy resources to ERCOT. During these times, the Company’s curtailment of operations meaningfully contributed to reducing overall power demand to help ensure that consumers did not experience interruptions in service.

Investor Events

Riot will report second quarter 2023 financial results on Wednesday, August 9^th after the market close.

Human Resources Update

Riot is currently recruiting for positions across the Company. Join our team in building, expanding, and securing the Bitcoin network.

Open positions are available at: https://www.riotplatforms.com/careers.

About Riot Platforms, Inc.

Riot’s (NASDAQ: RIOT) vision is to be the world’s leading Bitcoin-driven infrastructure platform.

Our mission is to positively impact the sectors, networks, and communities that we touch. We believe that the combination of an innovative spirit and strong community partnership allows the Company to achieve best-in-class execution and create successful outcomes.

Riot is a Bitcoin mining and digital infrastructure company focused on a vertically integrated strategy. The Company has data center hosting operations in central Texas, Bitcoin mining operations in central Texas, and electrical switchgear engineering and fabrication operations in Denver, Colorado.

For more information, visit www.riotplatforms.com.

Safe Harbor

Statements in this press release that are not historical facts are forward-looking statements that reflect management’s current expectations, assumptions, and estimates of future performance and economic conditions. Such statements rely on the safe harbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Words such as “anticipates,” “believes,” “plans,” “expects,” “intends,” “will,” “potential,” “hope,” and similar expressions are intended to identify forward-looking statements. These forward-looking statements may include, but are not limited to, statements about the benefits of acquisitions, including financial and operating results, and the Company’s plans, objectives, expectations, and intentions. Among the risks and uncertainties that could cause actual results to differ from those expressed in forward-looking statements include, but are not limited to: unaudited estimates of Bitcoin production; our future hash rate growth (EH/s); the anticipated benefits, construction schedule, and costs associated with the Navarro site expansion; our expected schedule of new miner deliveries; the impact of weather events on our operations and results; our ability to successfully deploy new miners; the variance in our mining pool rewards may negatively impact our results of Bitcoin production; megawatt (“MW”) capacity under development; we may not be able to realize the anticipated benefits from immersion-cooling; the integration of acquired businesses may not be successful, or such integration may take longer or be more difficult, time-consuming or costly to accomplish than anticipated; failure to otherwise realize anticipated efficiencies and strategic and financial benefits from our acquisitions; and the impact of COVID-19 on us, our customers, or on our suppliers in connection with our estimated timelines. Detailed information regarding the factors identified by the Company’s management which they believe may cause actual results to differ materially from those expressed or implied by such forward-looking statements in this press release may be found in the Company’s filings with the U.S. Securities and Exchange Commission (the “SEC”), including the risks, uncertainties and other factors discussed under the sections entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022, as amended, and the other filings the Company makes with the SEC, copies of which may be obtained from the SEC’s website, www.sec.gov. All forward-looking statements included in this press release are made only as of the date of this press release, and the Company disclaims any intention or obligation to update or revise any such forward-looking statements to reflect events or circumstances that subsequently occur, or of which the Company hereafter becomes aware, except as required by law. Persons reading this press release are cautioned not to place undue reliance on such forward-looking statements.

Investor Contact:
Phil McPherson
303-794-2000 ext. 110

IR@Riot.Inc

Media Contact:
Alexis Brock
303-794-2000 ext. 118

PR@Riot.Inc

 

FAQ

How many Bitcoin did Riot produce in July 2023?

Riot produced 410 Bitcoin in July 2023.

What was the average net price per Bitcoin sold in July 2023?

The average net price per Bitcoin sold in July 2023 was $30,293.

How much did Riot's power strategy generate in power credits in July 2023?

Riot's power strategy generated $6.4 million in power credits in July 2023.

What is Riot's anticipated self-mining hash rate capacity in the second half of 2023?

Riot anticipates achieving a total self-mining hash rate capacity of 12.5 EH/s in the second half of 2023.