Bitcoin (BTC) miner Marathon Digital has announced the acquisition of a wind farm in Hansford County, Texas, to bolster its sustainability efforts.
The wind farm, with 240 megawatts (MW) of interconnection capacity and 114 MW of nameplate wind capacity, will serve as the foundation for a new, sustainable data center. Additionally, Marathon plans to develop and operate a behind-the-meter facility powered entirely by the wind energy generated on-site, effectively eliminating energy expenses for its operations.
This acquisition is part of Marathon’s broader strategy to convert underutilized renewable resources into economic value. By doing so, the company aims to significantly reduce its energy costs, alleviate grid congestion, and contribute to a cleaner energy ecosystem while advancing broader renewable energy deployment.
Fred Thiel, Chairman and CEO of Marathon Digital, emphasized that this acquisition showcases the collaboration between the energy and data center sectors to create long-term value and foster sustainability initiatives. Thiel stated, “By repurposing machines and energizing them with 100% renewable, zero-marginal energy cost, we’re leveraging renewable resources that would have otherwise been curtailed, reducing our bitcoin production costs through vertical integration, and demonstrating Marathon’s commitment to environmental stewardship.”
Marathon’s approach includes utilizing next-generation ASIC mining hardware, some of which would have otherwise been discarded or sold in the secondary market. Through their Advanced ASIC Retirement Initiative, the company will give these retired machines a second life powered by wind energy that would otherwise go to waste. This program not only extends the hardware’s economic life but also reduces the environmental impact of mining operations.
Salman Khan, Marathon Digital CFO, highlighted the financial benefits of this project, noting that it will not only extend the lifespan of the mining equipment but also enhance the company’s return on capital employed.
Marathon Digital’s Bitcoin mining operations achieved a record last month, with BTC production increasing by 26% month-over-month to 907 BTC, and the hash rate surging 15% to reach 46.1 EH/s. In addition, the company revealed plans to raise $700 million through a convertible senior notes offering, using the proceeds to buy Bitcoin and support general corporate activities.
Overall, this acquisition and the integration of renewable energy into Marathon Digital’s core business operations mark a significant step towards sustainability and cost-efficiency in the Bitcoin mining industry. By leveraging renewable resources and repurposing retired mining machines, Marathon is demonstrating its commitment to environmental stewardship while optimizing its financial performance.
