Argo Blockchain to build $2 billion crypto mining facility in Texas

Argo Blockchain has stated that it plans to invest up to $2 billion in the construction of Helios, a crypto mining facility in Texas. The information had already been disseminated on Twitter after being leaked in a private meeting.

Argo Blockchain, a crypto mining company, has revealed that the development of a large-scale crypto mining plant might cost between $1.5 and $2 billion.

The overall cost, according to an Argo document, includes the anticipated expense of various mining machinery as well as raw supplies.

Argo’s stock has dropped by roughly 2.25% Friday, trading at around $17.

Sprawling project

The mining complex will take up 160 acres and run on 800 megawatts of power in Dickens County and might help Argo increase its hashrate — the amount of computing power required to process new Bitcoin blocks.

The startup intends to take advantage of Texas’ low power tariffs for large-scale cryptocurrency miners.

Argo had no intention of disclosing expenses related to its large-scale mining farm in advance. It admitted that this information had previously been classified as non-public under US securities rules.

The company’s personnel, on the other hand, unintentionally discussed the facility’s budget with an individual called Anthony Coyle in a private meeting on November 4, 2021, who then shared the information on Twitter.

Affordable electricity

As soon as the news became public, Argo issued a press release confirming the information. On social media, some investors have chastised the company for overspending on the building.

To entice miners, Texas, along with Wyoming and Kentucky, has offered lower utility costs. Following China’s prohibition on cryptocurrency mining, the U.S. has surpassed the country as the global leader in crypto mining, accounting for 35.4% of the global hashrate as of August.

Mining businesses in the U.S. and Canada have witnessed greater investor interest as a result of this expansion.

 

Image courtesy of Cointelegraph News/YouTube

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