Argo blockchain expands crypto mining capabilities

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U.K-based cryptocurrency mining firm Argo Blockchain is expanding its cryptocurrency mining capabilities, a new report has revealed. Proactive Investors revealed that the company is increasing its electricity supply by 357%, allowing it to run more mining machines and triple its hash rate. The company’s stock price on the London Stock Exchange has responded positively to recent announcements, rising by 17.6%.

The crypto miner announced a deal with GPU.one, a Canadian data center provider which will quadruple its clean power supply at its data centers in Quebec and the rest of Eastern Canada from 14 megawatts to 64 megawatts.

The 50 megawatts boost will allow the firm to run at least 15,000 new mining machines. This will allow it to raise its hash rate from the current 505 petahash to 1,360 petahash. According to the report, the expansion project will be funded entirely from the profits generated by Argo’s crypto mining operations in Quebec.

In July, Argo reported mining 163 SegWitCoin (BTC), which at the time was worth £1.36million ($1.99 million).

The company also announced that it had recouped the cost of its investment into new crypto mining hardware faster than predicted. It had bought 1,000 Bitmain Z11 Antminer machines which went into production in early May. The miners had achieved a 100% payback twice as fast as had been predicted.

Basing it on the current mining margins, Argo believes it will also recoup the cost of 2,267 S17 Antminer machines which went into production in May and June as scheduled.

Mike Edwards. Argo’s executive chairman stated, “We are pleased with the mining results in July as they demonstrate that we can use our existing investment in people and facilities and add new mining hardware with no increase in staffing and no material increases in non-mining costs. This operational gearing is very important as we triple our mining capacity over the next two quarters with no significant increase in non-mining costs.”

Argo became the first cryptocurrency-related company to list on the conservative London Stock Exchange earlier this year. The company billed its cloud mining product as a pioneer in the democratization of crypto mining. It focuses on the mining of BTC, Ethereum, Ethereum Classic, BTC Gold and Zcash.