Home Blockchain Argo Blockchain files for $57.5 million offering of secured notes to fund Texas mining facility

Argo Blockchain files for $57.5 million offering of secured notes to fund Texas mining facility

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United Kingdom-based crypto mining firm Argo Blockchain will likely be funding a part of the constructing and tools of its deliberate 800-megawatt information heart in West Texas by an providing of senior notes.

In line with a Nov. 8 submitting with the Securities and Alternate Fee, Argo plans to supply $57.5 million price of 8.75% senior unsecured notes set to mature on Nov. 30, 2026. The corporate stated it intends to make use of the proceeds for rigs at its Texas crypto mining facility in addition to development prices.

Argo broke floor on the 200 MW crypto mining facility based mostly in July, reporting the location would give the corporate “entry to as much as 800 MW {of electrical} energy” for its future operations if it chooses to amass and develop all out there land. Cointelegraph reported on Nov. 5 that the facility could cost Argo anyplace between $1.5-2 billion, with the land already estimated at $17.5 million.

The corporate secured two multimillion loans from Galaxy Digital in June and September utilizing its Bitcoin (BTC) as collateral to fund the location, which it plans to have up and operating by mid-2022. CEO Peter Wall has cited Texas’ low-cost renewable power as a part of the explanation for the development of the information heart within the space, with the SEC submitting stating Argo anticipated greater than 90% of its energy would come from ”dependable, renewable energy sources at a value beneath $0.02/kWh.”

Associated: Industrial Bitcoin mining breathes new life into tiny Texan town

Argo reported it had mined 167 BTC in October, and held 2,128 BTC — roughly $142 million — on its steadiness sheet as of Oct. 31. With the worth of Bitcoin lately reaching an all-time high of greater than $68,000, HODLing extra of the crypto asset might show to be worthwhile for the mining agency.