Bitcoin miner Argo Blockchain bought one among its websites to repay debt amid its declining BTC manufacturing final month.
Argo is promoting the positioning to repay debt
In a March 5 assertion, the miner defined that it bought its Mirabel facility in Quebec for $6.1 million.
Following the sale, Argo put aside $4 million to settle money owed owed to Galaxy Digital, successfully decreasing its debt to roughly $14 million as of February 29. This represents a major 60% drop from Galaxy’s authentic debt of $35 million.
Argo clarified that the remainder of the sale proceeds had been used to settle the excellent mortgage on the Mirabel facility. As well as, the corporate plans to relocate miners from the Mirabel web site to its facility in Baie Comeau, Quebec.
On the 5 megawatt (MW) Mirabel facility, miners shall be moved to the Baie Comeau web site, whereas the older 140 PH/s miners shall be phased out.
Thomas Chippas, CEO of Argo, stated:
“We’re in a position to exit the Mirabel Facility with a excessive a number of of its power capability and in addition notice a premium on this actual property asset whereas sustaining a powerful capability hashrate of two.7 EH/s.”
In 2021, Argo borrowed to develop its mining efforts with out promoting its BTC holdings. Nonetheless, as a result of a market downturn in 2022, Argo bought its Texas Helios mining web site to Galaxy Digital for $65 million and secured a brand new $35 million from Galaxy to settle further excellent loans.
BTC manufacturing is falling
The miner revealed that its BTC manufacturing fell by 21% to 92 BTC or 3.2 BTC per day in February as a result of a maintenance-related outage on the third-party-owned Cottonwood substation.
As well as, Argo additionally defined that its manufacturing was negatively affected by the growing problem of mining the BTC community. Final month, fromcrypto said that BTC mining problem has reached a document excessive of greater than 81 trillion.
On account of these points, the agency’s month-to-month mining income fell 15% month-on-month to $4.5 million. Argo holds round 14 BTC as of February twenty ninth.
