Digihost Completes Acquisition of 55 MW Site in Alabama

This press release constitutes a “designated press release” for the purposes of the Company’s March 4, 2022 brochure supplement to its February 23, 2022 summary basic prospectus.

TORONTO, June 22, 2022 (GLOBE NEWSWIRE) – Digihost Technology Inc. (“Digihost“or”Company”) (Nasdaq: DGHI; TSXV: DGHI), an innovative US-based Bitcoin.BTC”) Mining Company, is pleased to announce that it has completed its previously announced transaction with Grede II, LLC to acquire properties in the state of Alabama in order to expand the Company’s current operating capacity. The total cash consideration paid for the property by the Company was $ 1.5 million, with an additional $ 1.25 million payable in 25 equal monthly installments of $ 50,000 per month. All monetary references in this press release are expressed in USD unless otherwise indicated.

“The successful acquisition of our new site in Alabama marks a significant milestone in Digihost’s history, firmly establishing the company as a leading Bitcoin mining platform operating with jurisdictional diversification,” said Michel Amar, President and CEO of Digihost. “With Digihost’s ability to build existing on-property infrastructure and implement best-in-class construction, development and operational excellence, the Company is well positioned to increase the scale and scope of its operations with this new site while using clean energy sources. and renewables in the process ”.

Digihost plans to begin construction and development of the facility in Alabama immediately with the goal of bringing the property to a hashing capacity of 28 MW by the end of the third quarter of 2022 and a total of 55 MW by the end of the first quarter. 2023. In line with this capacity expansion, the Company intends to send a portion of its existing mining inventory to Alabama to enable Digihost to capture significant synergies that, in line with the lower direct energy costs it is acquiring from Alabama Power , will help reduce the company’s overall operating costs.

About Digihost

Digihost is a growth-oriented blockchain technology company focused primarily on BTC mining. Through its automotive operations and joint venture agreements, the Company is currently hashing at a rate of approximately 650 PH / s.

All hosting and profit sharing fees of the joint ventures are treated as operating expenses in the Company’s consolidated financial statements.

For more information, please contact:

Digihost Technology Inc.
Michel Amar, CEO
Phone: 1-818-280-9758
Email: michel@digihost.ca

Precautionary statement
The Company’s stock trading should be considered highly speculative. No stock exchange, securities commission or other regulatory authority has approved or disapproved of the information contained herein. Neither the TSX Venture Exchange nor its regulatory service provider (as defined in the TSX Venture Exchange policies) accept responsibility for the adequacy or accuracy of this release.

Prospective statements
Except for historical fact statements, this press release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking information”) that are based on expectations, estimates, and projections as of the date of this press release and are covered by safe harbors. under Canadian and U.S. securities laws. Prospective information in this press release includes information on possible further improvements in profitability and efficiency in mining operations. including, as a result of the Company’s expansion efforts in Alabama and elsewhere, the Company’s potential for long-term growth and the Company’s business goals and objectives. Factors that could cause actual results to differ materially from those described in this forward-looking information include, but are not limited to, future capital requirements and additional financing uncertainty, including the Company’s ability to use the Company’s market offering program. (the “ATM Program”) and the prices at which the Company may sell securities in the ATM Program, as well as capital market conditions in general; the dilution of shares resulting from the ATM Program and other capital issues; risks related to the strategy of maintaining and increasing Bitcoin holdings and the impact of the depreciation of Bitcoin prices on working capital; regulatory and other contingencies that prevent us from declaring or paying dividends to our shareholders that must be paid in Bitcoin; The continuing effects of the COVID-19 pandemic may have a material adverse effect on the Company’s performance as supply chains are disrupted and prevent the Company from operating its assets; The development of additional facilities to expand operations in Alabama may not be completed within the timeframes set by the Company, or may not be completed at all; the approval of the Public Service Commission or other regulatory or council approvals that are received on time, or not; the acquisition of North Tonawanda, New York facilities that close on time, or nothing; ability to access additional power from the local power grid; a decrease in cryptocurrency prices, the volume of transaction activity, or, in general, the profitability of cryptocurrency mining; further improvements in profitability and efficiency may not be made; the digital currency market; the company’s ability to successfully extract digital currency in the cloud; the Company may not be able to profitably liquidate its current digital currency inventory, or nothing; a decline in digital currency prices could have a significant negative impact on the Company’s operations; the volatility of digital currency prices; and other related risks as set forth in more detail in the Company’s Annual Information Form and in other documents disclosed in the Company’s archives at www.sedar.com. The forward-looking information in this press release reflects the Company’s current expectations, assumptions and / or beliefs based on the information currently available to the Company. In connection with the forward-looking information contained in this press release, the Company has made assumptions about: the current profitability in cryptocurrency mining (including the price and volume of current transaction activity); profitable use of the Company’s assets in the future; the Company’s ability to profitably liquidate its digital currency inventory as required; historical prices of digital currencies and the company’s ability to extract digital currencies in the cloud will be consistent with historical prices; the ability to maintain reliable and cost-effective energy sources to run their cryptocurrency mining assets; the negative impact of regulatory changes on energy regimes in the jurisdictions in which the Company operates; the ability to adhere to Digihost’s dividend policy and the timing and amount of dividends based on, among other things, the Company’s operating results, cash flow and financial condition, Digihost’s current and projected capital requirements and general terms and conditions of the business; and there will be no regulations or laws that prevent the Company from operating its business. The Company also assumed that no significant event occurs outside the normal course of business. Although the Company considers the assumptions inherent in the forward-looking information to be reasonable, the forward-looking information is not a guarantee of future performance and therefore such information should not be unduly trusted due to the uncertainties inherent in it.

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