Bitcoin (BTC) miner CleanSpark is expanding operations in the state of Georgia and expanding its mining capacity despite the ongoing bear market.
Groundbreaking work is underway on a new 50 megawatt bitcoin mining facility in Washington, Georgia, with completion expected by late spring, CleanSpark announced on January 19th. The nearly $16 million expansion is expected to increase the company’s hashrate by 2.2 exahashes per second, with a total hashrate of up to 8.7 EH/s.
The expanded facility will host up to 16,000 miners, including the newly added Antminer S19j Pro and Antminer S19 XP models.
With 50 MW scheduled for completion in late spring, we expect ours #hashrate reach up to 8.7 EH/s.
— CleanSpark Inc. (@CleanSpark_Inc) January 19, 2023
“This second phase more than doubles the size of existing operations,” said CEO Zach Bradford.
CleanSpark bought its Georgia site the previous August acquiring a local mining facility Mawson Infrastructure Group the following month for $33 million. At the time, the company said it planned to support a mining fleet of up to 70,000 units by 2023.
CleanSpark received approval for public trading on the Nasdaq exchange in early 2020. The following year, the company raised $200 million in capital through an equity offering.
WITH the price of bitcoin is falling more than 76% from peak to decline, miners were forced to rethink their business strategies for long-term survival. One of the industry’s biggest players, Core Scientific, filed for Chapter 11 bankruptcy in December. Meanwhile, mining unit Greenridge, received a $74 million lifeline just to stay afloat.
Some miners have thrived during the bear market by cutting energy costs and avoiding excessive leverage. In October, CleanSpark Executive Chairman Matthew Shultz told Cointelegraph that “Bitcoin mining is a potential solution for creating more opportunities for energy development.”