In a bold move signaling the future of Bitcoin mining, Bitdeer has acquired a 101 MW gas-fired power plant near Fox Creek, Alberta. The $21.7 million cash deal paves the way for what the company envisions as the first fully-vertically integrated Bitcoin mining operation, with unparalleled control over costs, efficiency, and scalability.
Planting Roots in Canada’s Energy-Rich Heartland
For Bitdeer, the Alberta acquisition represents a strategic foothold in one of North America’s most favorable jurisdictions for Bitcoin mining. With its abundant natural gas resources and crypto-friendly regulatory environment, the Canadian province has emerged as a hotspot for digital asset infrastructure.
We are really excited about planting roots in Alberta, our first site in Canada. This acquisition is the culmination of extensive collaboration with multiple government agencies and the Canadian Blockchain Consortium.
– Haris Basit, Chief Strategy Officer at Bitdeer
Powering Up a Mega-Scale Mining Campus
On the sprawling site of the former gas plant, Bitdeer plans to construct a state-of-the-art 99 MW mining datacenter. But that’s just the beginning. With the infrastructure in place, the facility has the potential to scale up to a staggering 1 GW of power capacity, opening the door for a mega-scale Bitcoin mining campus.
By owning its power source and leveraging cutting-edge SEALMINER hardware, Bitdeer expects to achieve industry-leading energy costs between $20 to $25 per MWh. This vertical integration positions the company to set new benchmarks for mining efficiency and profitability.
Plugging into the Grid for Maximum Flexibility
In addition to powering its own mining operations, the acquired plant comes with a valuable 99 MW interconnect to Alberta’s power grid. This opens up opportunities for Bitdeer to participate in the energy market, selling surplus power back to the grid during periods of high demand. Such grid stabilization strategies could provide a model for mitigating Bitcoin mining’s impact on electricity supplies.
The Vertical Integration Advantage
By bringing power generation, mining hardware, and grid interaction under one roof, Bitdeer aims to create a hyper-efficient Bitcoin production machine. Controlling the entire value chain provides unmatched ability to optimize operations and adapt to changing market conditions.
By combining our own power generation, SEALMINER mining machines and opportunistic grid participation, we believe this site will set a new benchmark for industry unit economics.
– Haris Basit, Chief Strategy Officer at Bitdeer
The Road to 1 GW and Beyond
With site preparation and initial infrastructure development slated to begin in Q2 2025, Bitdeer is wasting no time pushing the project forward. The installation of the first SEALMINER rigs is expected to commence in Q3, with the facility reaching full operational status in Q4 2026.
But even as it works to stand up the initial 99 MW mining farm, Bitdeer has its sights set on a much grander vision – becoming the world’s first 1 GW digital asset miner. With a proven template for vertical integration and a prime location in Alberta’s energy corridor, that lofty goal may not be as far off as it seems.
A New Model for Sustainable Bitcoin Mining?
As Bitcoin mining increasingly comes under scrutiny for its energy intensity, projects like Bitdeer’s vertically integrated operation in Alberta could chart a path forward for more sustainable practices. By leveraging stranded gas assets and creating synergies with the legacy electrical grid, miners have an opportunity to transform themselves from energy consumers into energy assets.
Whether Bitdeer’s ambitious plan becomes a replicable model remains to be seen. But one thing is certain – in an industry where scale and efficiency are everything, vertical integration may just be the key to mining success in the years ahead. As power costs continue to make up a larger share of mining budgets, expect more operators to follow Bitdeer’s lead in seeking full control over their energy destinies.
