Argentina Energy Provider Seals New Bitcoin Mining Deal

cryptonews.com:

Argentina’s state-run energy provider has completed a new Bitcoin (BTC) mining deal that will see the firm use associated gas to power 1,200 ASIC mining rigs in Patagonia.

Per the Spanish-language media outlet Criptonoticias, the deal involves the Argentinian government-owned firm Fiscal Petroleum Yacimientos (YPF) and its YPF Luz affiliate.

The agreement also involves the Norwegian oil and gas supplier Equinor and the Bitcoin mining firm Genesis Digital Assets Limited (GDA).

YPF is South America’s third-largest oil producer. It has several exploratory oil drilling projects in Patagonia.

Exploratory oil drilling often releases associated gas. In the past, many oil firms have simply burned this off (a process known as “flaring”).

But in many parts of the world, companies now use this gas to power crypto mining rigs via thermal plants.

The YPF deal will see the firms use a “mining farm” named Central Térmica Bajo del Toro, located in Rincón de los Sauces, Neuquén.

YPF was nationalized by the government in 2012 and has gone on to become one of the nation’s largest energy companies in Argentina.

The firms will channel the gas to a thermal power plant with a total installed capacity of 8 MW.

They claimed the move would help reduce greenhouse gas emissions, make efficient use of energy, and monetize associated gas.