Soluna To Start Building 36 Megawatt Bitcoin Mining Complex In Morocco By January 2019
Soluna, a Bitcoin mining company from Brookstone Partners, recently announced that they are going to work on creating a major mining farm. The farm will be a 36-megawatt facility, which begin the building process in January. The announcement comes from a report by Ars Technica on September 18th.
Part of the reason that Brookstone Partners believes they can be successful in their endeavor is by selling back 20% of the electricity use to the Moroccan government. This will require them to leverage local laws, which will be done within a purchasing power agreement (PPA). The agreement involves the company creating a strong stance in the area, as they develop their own opportunities to eventually expand their sales through the years.
According to CEO John Belizaire, “Morocco has a law in place that effectively guarantees a PPA for energy providers.” He added, “We will start with that and grow from there.”
Even though there seems to be a challenge in the industry to find economical ways that Bitcoin can utilize the electricity available. However, Soluna hopes the local laws will eventually expand enough to let them sell even more power.
“Depending on our future capacity, we may engage with the larger commercial offtaker in the country and beyond to purchase our power. This will require a change to law framework.”
As it stands, Morocco is one of the few jurisdictions in the entire world that has actually established a formal law against the use of cryptocurrency payments, which happened in November last year. Their law is much like the ones issued in India and Iran, among others.
However, Iran might be reversing that decision in September, depending on the current decisions of their regulators.