SALT LAKE CITY, Aug. 3, 2021 /PRNewswire/ -- CleanSpark,
Inc. (Nasdaq: CLSK) (the "Company" or "CleanSpark"), a clean
Bitcoin mining and a diversified software and services company,
today announced updates to a number of strategic initiatives
related to its Bitcoin and Energy business units.
CLSK Tops 6 Bitcoin Per Day, Deploys 200 MicroGrid Batteries. 95%
Carbon-Free Bitcoin Annual Run Rate Nearing $136M.
CleanBlok, the Company's Bitcoin mining division, now has over
7,500 of the latest generation mining units deployed with a
hashrate capacity of over 740 PH/s, currently producing
approximately 6 Bitcoin per day at today's difficulty rates.
Another 1,670 units, capable of producing approximately 148
PH/s or approximately 1.4 Bitcoin per day, have just been received
and are expected to be installed this month. Additional units
are scheduled for delivery in late August. Upon deployment of these
units, the Company expects to exceed a hashrate capacity of 1.0
EH/s, which would produce approximately 9.3 Bitcoin per day
assuming current difficulty. With a Bitcoin price of
$40,000 and current difficulty rates,
1.0 EH/s would result in an annual run rate of $136 million of revenue, in the mining segment
alone. CleanSpark expects to approach 2.0EH/s by the close of
calendar 2021, and 3.2EH/s by the end of September 2022.
The Company produced 147.8 Bitcoins during the month of July.
Cumulatively, the company has mined more than 520 Bitcoins since
entering the mining sector last December. The significant increase
in production for the month of July was due to a substantial
increase in the number of miners deployed over the past 30 days. In
addition, the difficulty of mining has decreased sharply over the
past two months resulting in increased production.
CleanSpark's Chief Executive Officer Zach Bradford stated, "We have experienced
tremendous growth over a relatively short period of time, and we
are very enthusiastic about the results. In just the month of July,
we have already produced nearly 70% of the Bitcoins that we mined
over the entire prior quarter, and we expect to continue to grow at
a strong pace. We're on track to receive over 20,000
additional miners over the coming 12 months."
CleanSpark's Bitcoins are mined using approximately 95%
carbon-free energy. The Company has a goal to achieve 100%
carbon-free mining through the installation of an on-site microgrid
featuring efficient solar and energy storage at its Atlanta facility, participation in renewable
energy credit programs, and, as previously announced, CleanSpark
plans to deploy its energy solutions at co-located facilities
operated by Coinmint. Upon deployment of its microgrid
project in Atlanta, which is
planned for 2022, the Company intends to showcase the facility's
overall energy efficiency in a public-facing dashboard.
CleanSpark's energy and microgrid services business unit
integrated over 180 batteries on more than 50 California locations
during the month of July, a significant increase from the previous
entire quarter's total residential battery installations of just
52. Unaudited revenues generated from residential energy solutions
for the month of July was equal to 80% of total energy revenue for
the entire quarter ended June 30,
2021.
CleanSpark's Chief Revenue Officer and Energy Division
President, Amer Tadayon, said, "Our
strong balance sheet enabled us to resolve supply chain
constraints, resulting in the delivery of more than 1,100 batteries
to our facilities. The majority of our new integrations were for
our neighbors in fire-prone communities throughout California. Our team has been able to install
a number of residential systems providing critical energy
resiliency for families with medical needs that require consistent
and reliable power. We expect the momentum to continue through the
current quarter and through the end of the year, with our
contracted energy backlog now in excess of $20 million."
The Company previously discussed the rollout strategy for its
residential microgrid solution, mVoult. The user application
is now in late-stage testing for its inclusion to the Apple and
Google app stores. Advanced orders are now available in
select markets.
Tadayon added, "Battery energy storage systems continue to be
delivered to our warehouse on time and as expected and are being
installed as rapidly as possible. Due to the growth of our
California operations, the company
recently relocated to a larger 12,704 square foot facility in
Carlsbad. The new facility includes offices, warehouse and
training facilities. We intend to install a full,
mPulse-controlled microgrid in the coming months. This microgrid
will allow us to demonstrate energy savings and optimization in
real time to our partners, potential customers, and the general
public."
The Company achieved its single largest revenue month in history
in July.
CEO Bradford said, "Our growth has not been without its
challenges, however. The Company successfully navigated the
volatility of Bitcoin, managed supply chain constraints, and
resolved a legal dispute. Additionally, we were able to
aggressively expand our sales and marketing efforts and increase
our labor force for energy products."
"Also, CleanSpark, like all companies holding large amounts of
digital currency, is required to measure impairment risks to the
value of Bitcoin and other intangible assets pursuant to US
accounting rules," Bradford said. "We are also required to value
certain investments at the end of each reporting period. As a
result of market volatility in both Bitcoin and other investments
last quarter, we anticipate reporting losses on the impairment of
Bitcoin and recognizing unrealized losses on certain investments.
We also incurred costs related to employee pay and stock-based
compensation that were largely onetime events. These activities and
other growth-based initiatives contributed to non-cash and one-time
cash expenses last quarter that will have a negative impact on the
reported results for the prior fiscal quarter."
"Despite the challenges of last quarter," Bradford added, "we
believe our efforts will translate to a strong future and increased
stockholder value. Our growing mining fleet, California's Self-Generation Incentive Program
supporting energy storage, and our backlog of executed contracts of
over $20 million should contribute to
record growth continuing throughout the balance of 2021. We are
really thankful for the support of our stockholders, suppliers and
customers and look forward to a strong future."
Parties interested in learning more about CleanSpark products
and services are encouraged to inquire by contacting the Company
directly at info@cleanspark.com or visiting the Company's website
at www.cleanspark.com.
About CleanSpark
CleanSpark, Inc.,
a Nevada corporation, is an energy technology and clean
Bitcoin mining Company that is focused on solving modern energy
challenges.
For more information about the Company, please visit the
Company's website
at https://www.cleanspark.com/investor-relations.
Forward-Looking Statements
This release contains
forward-looking statements as defined in the Private Securities
Litigation Reform Act of 1995, including statements regarding the
Company's plans and expectations for expansion of its energy
initiatives, operating results, business strategy, partnership with
Coinmint, deployment of miners, digital currency mining activities,
the growth of its facilities and other statements regarding the
expectations, beliefs, plans, intentions and strategies of the
Company. The Company has tried to identify these forward-looking
statements by using words such as "expect," "target," "anticipate,"
"believe," "could," "should," "estimate," "intend," "may," "will,"
"plan," "goal" and similar terms and phrases, but such words, terms
and phrases are not the exclusive means of identifying such
statements. Actual results, performance and achievements could
differ materially from those expressed in, or implied by, these
forward-looking statements due to a variety of risks, uncertainties
and other factors, including, without limitation: the successful
deployment of energy solutions for residential and commercial
applications; the fitness of the Company's energy hardware,
software and other solutions for this particular application or
market; the success of its digital currency mining activities; the
expectations of future revenue growth may not be realized; ongoing
demand for the Company's software products and related services;
the impact of global pandemics (including COVID-19) on the demand
for our products and services; and other risks described in the
Company's prior press releases and in its filings with the
Securities and Exchange Commission (SEC), including under the
heading "Risk Factors" in the Company's Annual Report on Form
10-K and any subsequent filings with the SEC. You are cautioned not
to place undue reliance on these forward-looking statements, which
speak only as of the date hereof, and we undertake no obligation to
revise or update this press release (including any forward-looking
statements contained herein) to reflect events or circumstances
after the date hereof.
Contacts:
Investor Relations:
CleanSpark,
Inc.
Investor Relations
ir@cleanspark.com
Press:
Trish
DaCosta
KCD PR
Cleanspark@kcdpr.com
View original content to download
multimedia:https://www.prnewswire.com/news-releases/cleanspark-provides-updates-on-bitcoin-mining-and-energy-operations-301347086.html
SOURCE CleanSpark, Inc.