Bitfarms, a leading bitcoin mining company listed on the Nasdaq and Toronto Stock Exchange (TSX), has announced a significant expansion of its hydro-powered Yguazu facility in Paraguay. The company has secured an additional 100 megawatts (MW) of power from Paraguay’s state-owned utility firm, ANDE, which is expected to double the capacity of the Yguazu site.
The new power supply is expected to be fully operational by 2025 and will provide low-cost electricity at $0.039 per kilowatt-hour (kWh), without being subject to inflationary increases. The construction of the Yguazu site commenced in March, including the high-voltage interconnection to the ANDE substation.
According to Bitfarms’ chief mining officer, Ben Gagnon, the additional 100 MW will provide a low-cost growth path for the first half of 2025 without impacting the company’s 2024 21 EH/s target, which remains on schedule. The expansion is expected to increase the company’s 2025 megawatts under management by 23% from 428 MW to 528 MW.
Gagnon emphasized that the expansion takes advantage of the existing construction plan, amortizing development costs over a broader infrastructure base and driving down overall costs per megawatt.
Damian Polla, Bitfarms’ General Manager of LATAM, explained that the megawatts were obtained directly through ANDE without any direct acquisition costs. Polla added that Paraguay represents Bitfarms’ most significant growth opportunity, with 270 MW of infrastructure expansion from the new Paso Pe and Yguazu farms.
Despite the company’s recent stock decline, Bitfarms’ stock has still risen 37% over the past six months. The company’s stock has faced pressure in recent days, declining 16.7% over the past five days. However, the company’s expansion plans and low-cost power supply are expected to drive growth and profitability in the long term.
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Source: Bitcoin.com
