Stronghold Digital Mining, a clean energy–powered cryptocurrency mining company, has purchased a second power plant in Pennsylvania, and the company said it was “currently in negotiations” to acquire a third facility in the state.
The new facility, called the Panther Creek plant, generates a maximum 80 megawatts and will nearly double Stronghold’s total net capacity across its two plants to 165 MW. It sits on a 33-acre site in the northeastern Pennsylvania borough of Nesquehoning
Stronghold says it raised approximately $74 million in lease financing to fund the acquisition of a second facility. Of the $74 million, $40 million came from WhiteHawk Capital Partners, a private credit investment manager. The remaining $34 million is from Arctos Credit, an affiliate of NYDIG.
Greg Beard, CEO of Stronghold, looks forward to mining bitcoin at “some of the lowest costs in the industry” while also helping the environment. “Coal refuse sites continue to wreak havoc across Pennsylvania,” Beard said in a press release. “We very much welcome the bipartisan political support to continue remediating these vast sites and return the land to the local community.”
In June, Stronghold raised $105 million to open its first plant in Kennerdell, Pa. On July 27, it registered for a $100 million initial public offering (IPO) with the U.S. Securities and Exchange Commission (SEC).
The Pennsylvania company converts waste coal, a material left over from coal mining, into power used to mine bitcoin and other cryptocurrencies. The company estimates that for each bitcoin mined, 200 tons of waste coal is eliminated.