GDA launches Bitcoin mining centre in Argentina powered with repurposed flared gas

(MENAFN- Total Communications) GDA launches Bitcoin mining centre in Argentina powered with repurposed flared gas

Partnership with country’s largest energy company shows how Bitcoin mining can be a net positive for the environment

Dubai, UAE, 15th May 2024: Genesis Digital Assets Limited (GDA), one of the largest Bitcoin mining companies in the world in terms of hash rate, has announced the opening of a new data center in Argentina powered by YPF Luz, a leading company in electric power generation.

The announcement comes during a period of expansion by GDA, which now operates 20 industrial-scale data centres across North America, South America, Europe, and Central Asia.

The company’s first facility in South America is located in Rincón de Los Sauces, in the Neuquén Province and has a total capacity of 7 MW and 1 MW of backup.

The Bajo del Toro Thermal Power Plant, composed of YPF, Equinor and YPF Luz, will power 1,200 bitcoin mining machines, and efficiently monetize stranded gas, which would otherwise be flared into the atmosphere.

Speaking from the company’s Dubai office today, Abdumalik Mirakhmedov, Executive President of GDA, said: “We believe that Argentina is an important country for Bitcoin mining, given its abundance of energy sources and business-friendly environment.

“The opening of our first data center in South America is an important step in our geographic diversification efforts. And this will be yet another opportunity to show the world that Bitcoin mining can have a positive effect on the environment and can be fully integrated into local communities.”

With an abundance of energy, a favorable political climate, and a strong crypto ethos, Argentina is becoming increasingly important for Bitcoin mining and the broader industry.

For the new data center, GDA will use the electricity generated from stranded gas provided YPF Luz, an electric power generation company that has been leading the energy transition since 2013.

As stated by the Intergovernmental Panel on Climate Change, methane gas adversely impacts the environment as it is responsible for approximately a third of the warming the world is experiencing. Methane mitigation techniques, such as the utilization of stranded gas, are important to reduce emissions and combat global warming.

As stated in a Massachusetts Institute of Technology working paper, Bitcoin mining could potentially reduce between 25% and 63% of carbon dioxide equivalent (CO2e) emissions by repurposing methane gas.

“In 2022, we were the first Argentine company to generate electrical energy for cryptocurrency mining from flare gas, an innovative solution in line with YPF's energy transition needs,” said Martín Mandarano, CEO of YPF Luz. “This project with GDA allows us to bring YPF and Equinor, two companies committed to reducing the carbon footprint of their exploration activities, an adaptable and sustainable flare gas use solution.”

Caption: Abdumalik Mirakhmedov, Executive President and Founder of GDA (left) and Martín Mandarano, CEO of YPF Luz

MENAFN15052024003978010488ID1108215214