Texas-based cryptocurrency mining company Giga Energy has expanded into Argentina after expanding in the US and Shanghai, capitalizing on the gas flaring trend. As of 2019, Giga Energy is building and operating its own mining operations, operating 150 megawatts of containers distributed around the world.
The cryptocurrency mining company has partnered with oil and gas company Phoenix Global Resources and Exa Tech to launch a two-megawatt Bitcoin mine atop Vaca Muerta in Argentina. CNBC was the first to report on Giga Energy’s expansion plans.
“We are excited to announce Giga’s expansion in Argentina, a significant milestone in our journey. This move not only expands our operating landscape, but also aligns with our vision to reduce emissions globally.” – Giga Energy co-founder Brent Whitehead said in a social media post.
“We are excited about the opportunities this new chapter will bring and look forward to making a positive impact in Argentina,” – Whitehead adds.
Bitcoin mining, however, can be a controversial process that is widely known to have a negative impact on the environment.
Giga Energy generates electricity from flared natural gas. The company places a shipping container consisting of thousands of bitcoin diggers on an oil well. The natural gas is then transferred to generators, which then generate electricity that is used to power the cryptocurrency diggers.
Extracting cryptocurrencies from gas in Argentina
In December, Unblock Global co-founder Tomas Ocampo announced on social media that the company had raised $15 million to use “flare gas” from Argentina‘s largest gas field, Vaca Muerta. Torch gas mining involves converting excess natural gas into the energy needed to extract cryptocurrency.
Bitcoin market causes more mining spending
The recent boom in the cryptocurrency space is causing an increase in capital spending and companies are announcing expansion plans.
Bitcoin has reached a record high of over $72,000, and many companies are looking to capitalize on this growth. For example, MicroStrategy and Coinbase have decided to issue convertible bills. Meanwhile, Marathon Digital continued to make acquisitions as part of its growth strategy, reports Shalini Nagarajan of Cryptonews.
