Black Rock is an American investment management company that is considered to be the biggest in the industry. In Q1, 2021, the asset under management for Black Rock was valued at $9.01 trillion. The company has signed up a new contract to start a massive crypto mining operation in Canada recently. The agreement took place between Black Rock Petroleum and Optimum Mining Host LLC.
As per the media reports, the BKRP is planning to set up as many as one million Bitcoin miners in Canada. The mining hardware will be exported from China. These mining rigs will then be set up in three groups close to the Natural Gas production sites in the Canadian province Alberta.
The hashrate for Bitcoin dropped drastically when the crypto ban in China ensued last month. However, now the mining operations have started to pick up the pace. Black Rock Petroleum (BKRP) is setting a massive Bitcoin mining farm to take advantage of the golden opportunity. BKRP will be responsible for taking care of servicing, hardware, equipment, spare parts, maintenance, and system upgrade.
On the other hand, the Optimum Mining Host LLC (OMH) is required to take care of the electricity supply for all one million mining machines. The partnership contract is good for 24 months and provides an additional 12 months extension. In the first phase, 200,000 machines will be installed; the next target is activating 300,000 units. In the end, 500,000 units will go operational.
Renewable Energy Projects for Bitcoin Mining are Increasing
Crusoe Energy is a private company that recently decided to power its crypto mining operations with natural gas. After the mining exodus of China, many new crypto miners are opting for renewable energy sources. According to Crusoe Energy officials, natural gas would allow carbon emissions to drop by 50%. Another mining enterprise, Compass Mining, is in the process of setting up a nuclear power plant to power its farms.
Black Rock Investment Management has also decided to purchase Caledonian Mainstream. This is a natural gas production company in Alberta-Canada that operates 14 active wells. Commenting on the latest purchase, Black Rock CEO Zoltan Nagy claimed that this is a great opportunity for the firm as natural gas demand has increased in the North American region in the commercial sector.