Stronghold Digital Mining, a bitcoin mining company based in Pennsylvania (USA), is about to acquire Panther Creek, a coal waste power plant located in the north of the US state. However, the company claims that it was recently in negotiations to acquire another facility in the same region, according to information from Coindesk.
The news comes a week after the organization announced it had raised $105 million to open its first factory in the remote town of Kennerdell, as well as the filing of its Initial Public Offering (IPO) request with the Securities and Exchange Commission (SEC) . After the regulator's approval, the company intends to list its Class A common shares on the US Nasdaq stock exchange.
According to the website, the Panther Creek plant generates up to 80 megawatts, enough to double Stronghold's capacity along with the main plant and reach 165 MW. Stronghold recently said that it currently operates around 1,800 miners with a hash rate of approximately 85 PH/s (petahashes per second).
Its bitcoin mining operations are supported by energy generated from recycled material, which comes from the residues left over from coal mining. The company estimates that for every bitcoin extracted, 200 tons of waste are disposed of.
This type of process is considered an energy source by Pennsylvania regulators as an alternative energy source on par with hydropower for its environmental impact.
Also according to Coindesk, Stronghold said it raised approximately $74 million in leases to finance the acquisition of Kennerdell. Of that amount, the site explained, $40 million came from WhiteHawk Capital Partners, a private credit investment manager; the remaining $34 million is from Arctos Credit, an affiliate of NYDIG, a digital investment firm.