TORONTO, Feb. 21,
2023 /CNW/ - Hut 8 Mining Corp. (Nasdaq: HUT)
(TSX: HUT) ("Hut 8" or the "Company") announces
that it received the Statement of Defence and Counterclaim (the
"Counterclaim") of Validus Power Corp. and its subsidiary,
Bay Power Corp. (collectively, "Validus").
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The Counterclaim relates to the Company's ongoing dispute with
Validus in respect of Validus' failure to meet its contractual
obligations under the power purchase agreement it entered into with
the Company as well as the associated lease between the Company and
Validus at the Company's mining facility in North Bay, Ontario. In addition to denying the
majority of allegations in the Company's Statement of Claim,
Validus has brought counterclaims against the Company and is
seeking monetary damages. The Company intends to pursue the
claims set out in its Statement of Claim as previously announced.
The Company considers the Counterclaim to be without sufficient
merit and will vigorously defend all of the claims in the
Counterclaim.
As the matter is now before the court, Hut 8 does not intend to
make additional comments on this subject unless otherwise
determined to be appropriate.
About Hut 8
Hut 8 is one of North America's
largest innovation-focused digital asset miners, led by a team of
business-building technologists, bullish on bitcoin,
blockchain, Web 3.0, and bridging the nascent and traditional high
performance computing worlds. With two digital asset mining sites
located in Southern Alberta and a
third site in North Bay, Ontario,
all located in Canada, Hut 8 has
one of the highest capacity rates in the industry and one of the
highest inventories of unencumbered, self-mined
Bitcoin of any digital asset miner or publicly-traded
company globally. With 36,000 square feet of geo-diverse data
centre space and cloud capacity connected to electrical grids
powered by significant renewables and emission-free resources, Hut
8 is revolutionizing conventional assets to create the first hybrid
data centre model that serves both the traditional high performance
compute (Web 2.0) and nascent digital asset computing sectors,
blockchain gaming, and Web 3.0. Hut 8 was the first Canadian
digital asset miner to list on the Nasdaq Global Select Market.
Through innovation, imagination, and passion, Hut 8 is helping to
define the digital asset revolution to create value and positive
impacts for its shareholders and generations to come.
Cautionary Note Regarding
Forward–Looking Information
This press release includes "forward-looking information" and
"forward-looking statements" within the meaning of Canadian
securities laws and United States
securities laws, respectively (collectively, "forward-looking
information"). All information, other than statements of historical
facts, included in this press release that address activities,
events or developments that the Company expects or anticipates will
or may occur in the future, including such things as future
business strategy, competitive strengths, goals, expansion and
growth of the Company's businesses, operations, plans and other
such matters is forward-looking information. Forward-looking
information is often identified by the words "may", "would",
"could", "should", "will", "intend", "plan", "anticipate", "allow",
"believe", "estimate", "expect", "predict", "can", "might",
"potential", "predict", "is designed to", "likely" or similar
expressions. In addition, any statements in this press release that
refer to expectations, projections or other characterizations of
future events or circumstances contain forward-looking information
and include, among others, statements with respect to the
North Bay facility and the
expected outcome of any proceedings related to Validus.
Statements containing forward-looking information are not
historical facts, but instead represent management's expectations,
estimates and projections regarding future events based on certain
material factors and assumptions at the time the statement was
made. While considered reasonable by Hut 8 as of the date of this
press release, such statements are subject to known and unknown
risks, uncertainties, assumptions and other factors that may cause
the actual results, level of activity, performance or achievements
to be materially different from those expressed or implied by such
forward-looking information, including but not limited to, security
and cybersecurity threats and hacks, malicious actors or botnet
obtaining control of processing power on the Bitcoin
network, further development and acceptance of the Bitcoinnetwork,
changes to Bitcoin mining difficulty, loss or
destruction of private keys, increases in fees for recording
transactions in the Blockchain, erroneous transactions, reliance on
a limited number of key employees, reliance on third party mining
pool service providers, regulatory changes, classification and tax
changes, momentum pricing risk, fraud and failure related to
digital asset exchanges, difficulty in obtaining banking services
and financing, difficulty in obtaining insurance, permits and
licenses, internet and power disruptions, geopolitical events,
uncertainty in the development of cryptographic and algorithmic
protocols, uncertainty about the acceptance or widespread use of
digital assets, failure to anticipate technology innovations, the
COVID19 pandemic, climate change, currency risk, lending risk and
recovery of potential losses, litigation risk, business integration
risk, changes in market demand, changes in network and
infrastructure, system interruption, changes in leasing
arrangements, failure to achieve intended benefits of power
purchase agreements, potential for interrupted delivery, or
suspension of the delivery, of energy to the Company's mining
sites, and other risks related to the digital asset and data centre
business. For a complete list of the factors that could affect the
Company, please see the "Risk Factors" section of the Company's
Annual Information Form dated March 17,
2022, as well as its most recent Base Shelf Prospectus dated
August 5, 2022 and Prospectus
Supplement dated August 17, 2022, and
Hut 8's other continuous disclosure documents which are available
on the Company's profile on the System for Electronic Document
Analysis and Retrieval at www.sedar.com and on the EDGAR
section of the U.S. Securities and Exchange Commission's website at
www.sec.gov.
These factors are not intended to represent a complete list of
the factors that could affect Hut 8; however, these factors should
be considered carefully. There can be no assurance that such
estimates and assumptions will prove to be correct. Should one or
more of these risks or uncertainties materialize, or should
assumptions underlying the forward-looking statements prove
incorrect, actual results may vary materially from those described
in this press release as intended, planned, anticipated, believed,
sought, proposed, estimated, forecasted, expected, projected or
targeted and such forward-looking statements included in this press
release should not be unduly relied upon. The impact of any one
assumption, risk, uncertainty, or other factor on a particular
forward-looking statement cannot be determined with certainty
because they are interdependent and Hut 8's future decisions and
actions will depend on management's assessment of all information
at the relevant time. The forward-looking statements contained in
this press release are made as of the date of this press release,
and Hut 8 expressly disclaims any obligation to update or alter
statements containing any forward-looking information, or the
factors or assumptions underlying them, whether as a result of new
information, future events or otherwise, except as required by
law.
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SOURCE Hut 8 Mining Corp