Gryphon Digital Mining has received an 850-acre natural gas-fired industrial site in southern Alberta, Canada, through a deal signed with Captus Energy for $18.7 million.
According to Gryphon Digital’s press release, the Bitcoin (BTC) mining company plans to use the recently acquired asset to further develop its AI and high-performance computing data center infrastructure. Gryphon’s deal with Captus is expected to close before or in April 2025.
Based on the deal, Gryphon Digital will pay Captus C$27 million, equivalent to $18.7 million, which already includes C$3 million ($2 million) in restricted stock of four years granted to the new Captus management team. If the transaction does not go through, the Captus team will have to return the restricted shares.
The 850-acre industrial site has the potential to reach 4 gigawatts of capacity and provides Gryphon access to a dual supply of natural gas, grid connection, water resources, as well as suppliers fast fiber optic connection.
Analysts conclude that Gryphon could earn $1.5 million in annual revenue per megawatt, although VanEck’s research estimates that AI and HPC-related Bitcoin mining revenue could reach as much as $9.11 million. dollars per MW. At full capacity, the asset has the potential to generate more than $5 billion in annual revenue for Gryphon.
Gryphon Digital CEO Steve Gutterman said the acquisition of Captus Energy’s assets marks a transformational moment for Gryphon, which hopes to expand its reach in the AI and HPC infrastructure market.
“The combination of a dual supply of natural gas, on-site carbon sequestration and abundant access to water makes it one of the few places in North America to have all the critical elements necessary for AI computing at scale,” Gutterman said.
He added that part of the Captus Energy team, led by Captus Generation CEO Harry Andersen, will join the Gryphon as part of the signed agreement.
“We believe the acquisition of Captus, combined with our recent acquisition in British Columbia and additions to our team, fundamentally transforms the trajectory and potential scale of Gryphon,” he said.
In December, Gryphon also acquired a natural gas site in British Columbia with an initial generation capacity of 100 MW and scalability of up to 1 GW. The projected electricity cost associated with the site could be below $0.03 per kWh.
