The mining company Greenidge Generation agreed with Core Scientific to host 6,914 Bitcoin mining devices on Core Scientific’s sites for one year.
Based in New York, Greenidge will also deploy a further 1,500 of its own miners at its facilities.
Core Scientific operates facilities in Georgia, Kentucky, North Carolina, North Dakota, and Texas.
In a press release dated April 28, Greenidge Generation said they had “turned the page”.
“Collaboration with Core Scientific will significantly boost profitability,” said the company’s CEO, Dave Anderson.
Greenidge Generation estimated additional annual profit from the deal at $7.5 million.
In December 2022, the company entered into an agreement with lender NYDIG to sell a substantial portion of its mining machines to repay a debt of $74 million.
In a document for the SEC, Greenidge did not rule out filing for bankruptcy. Partly this was driven by environmentalists’ pressure and the related attention from lawmakers.
A month later, the company reached agreements with B. Riley and NYDIG on debt restructuring, reducing it from $87 million to about $26 million.
In 2022, the New York State Department of Environmental Conservation refused to extend Greenidge’s operating permits. The agency cited the inability of the firm to confirm that it had adopted “adequate measures to reduce greenhouse gas emissions.”
In 2022, Greenidge Generation mined 2,731 BTC. The company’s revenue for the period amounted to $90 million with a net loss of $269.7 million.