TeraWulf, a Bitcoin mining company, has sold its 25% share in a 200-megawatt Bitcoin mining facility to its partner, Talen Energy, for $92 million. This deal allows TeraWulf to gain a 3.4x return on its investment in the Nautilus facility, as stated on October 4.
The deal includes $85 million cash and about 30000 miners and equipment worth of about $7 million. TeraWulf intends to utilize these funds to build a new 20MW power plant for HPC and AI data centers.
Source: X
Also, the company has the “MB-5” mining building in progress intending to achieve a hashrate of over 13 EH/s in the first quarter of the year 2025.
Paul Prager, the CEO of TeraWulf, noted , “This transaction further aligns TeraWulf’s focus and investments with where we have the most operational efficiency, the greatest growth potential, and the best opportunity to drive incremental value for shareholders.”
TeraWulf is also strengthening its AI and HPC portfolios with a recently commissioned 2 MW proof-of-concept and future expansion. Further details of these developments will be discussed on the company’s third-quarter earnings call on November 12, 2024.
Following the announcement, the TeraWul f ’s stock price increased by 8% to $4.71 per share. It has been said that since Talen now owns the Nautilus mining site, the company may be planning to divest from a nuclear power plant in Pennsylvania.
TeraWulf’s sale of its stake in the Nautilus facility is a smart move, providing a significant return on investment. Investing in a new power plant for HPC and AI data centers shows their commitment to growth and innovation.
