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abu dhabi, Bitcoin mining, cooling, cryptofarms, cryptomining, immersion, joint venture, Marathon, Middle East, mining, mining facility, mining project, UAE, Zero Two
Large Immersion Cooled Crypto Mining Farms to Mine Bitcoin in Middle East Desert – Mining Bitcoin News
A project to build two large-scale cryptocurrency mining facilities is underway in the United Arab Emirates (UAE). The high-tech data centers will rely on a full immersion solution to cool the power-hungry miners as the desert climate makes air-cooled mining impossible, participants said.
Advanced Crypto Mining Facility in Abu Dhabi to Defeat Refrigeration Challenges in the Arabian Peninsula
Marathon Digital Holdings, a leading US-based crypto mining company, and new blockchain infrastructure developer Zero Two are working to launch what they say will be the Middle East’s first deep-sea bitcoin mining operation.
The partners have formed a joint venture, Abu Dhabi Global Markets (ADGM), to develop and operate two new digital asset mining sites with a combined capacity of 250 megawatts (MW), Marathon announced in a press release detailing the project.
The larger 200 MW plant will be built in Masdar City, the sustainability hub of Abu Dhabi, the capital of the UAE. The second crypto farm of 50 MW will be located in the port zone of Mina Zayed, the announcement said.
The areas will be powered by excess energy, thus increasing the base load and sustainability of Abu Dhabi’s power grid. The two companies emphasized that their intention is also to compensate for all non-sustainably produced electricity that is used with clean energy certificates.
The construction of the crypto mining farms is already underway and the mining equipment has been ordered. Both sites, which will have a combined hash rate of approximately 7 EH/s, are expected to come online as early as this year.
Before the realization of the project began, Marathon Digital and Zero Two launched a pilot program to determine the efficiency of a large crypto mining operation in Abu Dhabi, where the hot desert climate makes air-cooled mining impossible.
The initial results of the pilot indicate that the operation of mining facilities in the UAE is now possible thanks to an immersion solution to cool the ASIC miners, custom-built by the two companies, and the implementation of proprietary software to optimize their performance.
Ownership of the ADGM joint venture will be 80% for Zero Two and 20% for Marathon, with capital contributions in 2023 expected to total approximately $406 million. The details of the mining project come after analysts recently predicted that increased regulatory pressure, energy costs and taxes in current mining hotspots could result in a new migration of crypto miners to more favorable jurisdictions.
Do you expect to see an increasing number of crypto mining facilities in the Middle East? Tell us in the comments section below.
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