Riot Announces October 2022 Production and Operations Updates

Rhea-AI Summary

Riot Blockchain produced 509 Bitcoin in October 2022, marking a 10% increase from the previous year, with a total of approximately 6,825 BTC held by the company. Riot sold 450 BTC for about $8.7 million. The company's hash rate capacity reached an all-time high of 6.9 EH/s with plans to expand to 12.5 EH/s by Q1 2023. Riot received 7,385 new miners in October, boosting its operational capacity. Major infrastructure developments include the completion of its second immersion-cooled building and ongoing work on the Corsicana facility.

Positive

• 509 BTC produced in October 2022, a 10% increase from October 2021.
• Total Bitcoin held increased to approximately 6,825 BTC.
• Sold 450 BTC, generating net proceeds of about $8.7 million.
• Deployed hash rate capacity reached an all-time high of 6.9 EH/s.
• Received 7,385 new miners, increasing operational capacity.
• Completed Building G at Rockdale Facility and broke ground on Corsicana facility.

Negative

• None.

Riot Produces 509 Bitcoin in October 2022 and Significantly Expands Hash Rate Capacity to All-Time Record

Castle Rock, CO, Nov. 03, 2022 (GLOBE NEWSWIRE) -- Riot Blockchain, 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 October 2022.

Bitcoin Production and Operations Updates for October 2022

• Riot produced 509 BTC, an increase of approximately 10% as compared to October 2021 production of 464 BTC.
• Riot held approximately 6,825 BTC, all produced by the Company’s self-mining operations, as of October 31, 2022.
• Riot sold 450 BTC, generating net proceeds of approximately $8.7 million.
• Riot had a deployed fleet of 65,516 miners, with a hash rate capacity of 6.9 exahash per second (“EH/s”), as of October 31, 2022.

“October marked another month of executional excellence for Riot,” said Jason Les, CEO of Riot. “We continued to make significant progress on the expansion of our Rockdale Facility, where we recently completed Building G, Riot’s second immersion-cooled building, rapidly deployed new miners in parallel with new infrastructure buildout, and broke ground on the first phase of development on our new Corsicana facility. This focus on solid execution of our growth plans has resulted in another record hash rate capacity this month, as we progress towards our goal of reaching 12.5 EH/s in the first quarter of 2023.”

Mining Deployment and Shipment Update

During the month of October, Riot received 7,385 new S19-series miners, increased its deployed fleet by 9,788 S19-series miners, with approximately 7,912 miners staged for deployment. Upon deployment of the staged miners, the Company expects to have a total of 73,428 miners deployed with a hash rate capacity of approximately 7.8 EH/s. Additionally, shipments of 3,055 S19-series miners have been initiated out of Bitmain Technologies Limited (“Bitmain”) and are expected to be received during November 2022.

Infrastructure Update

During the month of October, Riot’s Rockdale facility successfully scaled and achieved major milestones towards the build out of the Company's 400 megawatt ("MW") digital infrastructure project.

Engineers continued to install Riot’s air-cooling rack system in Building D where installation is expected to be completed before the end of November. In Building E, electrical work nears completion and construction teams have begun to install the air-cooling rack system.

The Company is pleased to announce the completion of its second immersion-cooled building, Building G, with the installation of the remaining dry cooler infrastructure, internal tanks and pumping systems.

On October 18^th, Riot executives and employees along with local and state officials gathered to celebrate the Company’s groundbreaking ceremony in Corsicana, Navarro County, Texas. The first phase of the Corsicana facility will consist of 400 megawatts (“MW”), with self-mining and data center hosting operations expected to commence by the fourth quarter of 2023.

To learn more about the groundbreaking ceremony, click here.

Estimated Hash Rate Growth

During Q1 2023, Riot anticipates a total self-mining hash rate capacity of 12.5 EH/s, assuming full deployment of approximately 115,450 Antminer ASICs, but excluding any potential incremental productivity gains from the Company’s utilization of 200 MW of immersion-cooling infrastructure. Substantially all of Company’s self-mining fleet will consist of the latest generation S19-series miners. In addition to the Company’s self-mining operations, Riot hosts approximately 200 MW of institutional Bitcoin mining clients.

Human Resources

Riot is currently recruiting for positions in the following departments: Accounting, Finance, Legal, and Public Policy. Join our team in building, expanding, and securing the Bitcoin network. Open positions are available at: https://www.riotblockchain.com/careers.

Conference Schedule

Riot will be presenting at the following upcoming conferences:

• Pacific Bitcoin held in Los Angeles, November 10^th – 11^th.
• Cantor Fitzgerald Crypto and Disruptive Finance Conference held in Miami, November 10^th.
• Bitwise Financial Forum held in Chicago, November 14^th.
• Roth 11^th Annual Tech Conference held in New York City, November 16^th.
• Texas Blockchain Summit held in Austin, November 17^th – 18^th.
• Wells Fargo 6^th Annual TMT Summit held in Las Vegas, November 29^{th –} December 1^st.

Investor Relations

The Company’s Third Quarter Financial Report is due by November 9th, 2022.

About Riot Blockchain, 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 Bitcoin mining data center 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.riot.inc.

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; our ability to successfully deploy new miners; M.W. 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, 2021, 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. 

Attachments

• Riot's Rockdale Facility
• Estimated Hash Rate Growth

FAQ

What was Riot's Bitcoin production in October 2022?

Riot produced 509 Bitcoin in October 2022, a 10% increase compared to the previous year.

What is Riot's current Bitcoin holding as of October 31, 2022?

As of October 31, 2022, Riot holds approximately 6,825 Bitcoin.

How much revenue did Riot generate from Bitcoin sales in October 2022?

Riot generated approximately $8.7 million from selling 450 Bitcoin in October 2022.

What is Riot's hash rate capacity as of October 2022?

Riot's hash rate capacity reached 6.9 EH/s as of October 2022.

What are Riot's future hash rate goals?

Riot aims to achieve a self-mining hash rate capacity of 12.5 EH/s by Q1 2023.