Crusoe Energy Systems acquires Great American Mining’s operational assets

Renowned Bitcoin mining company Crusoe Energy Systems has recently announced the successful acquisition of Great American Mining’s operational assets.

Crusoe will expand its fleet by over 10 megawatts and about 4,000 ASIC as part of the agreement, and a manufacturing facility in Ponchatoula, Louisiana will serve as Crusoe’s new site for research and development. The company’s overall capacity would rise by 9% as a result, according to a recent press release. Wednesday’s announcement further reads:

“The acquisition integrates GAM’s operations into Crusoe’s DFM systems to utilize stranded and wasted energy resources to power modular data centers and enable energy-intensive computation.”

Crusoe aims massive expansion

Crusoe will also capitalize from the company’s business connections with a number of significant energy producers in the North Dakota and Montana Bakken region. Chase Lochmiller, Crusoe’s CEO and co-founder, commented on its relationships by stating that the company “values the relationships established by Great American Mining with oil and gas producers in the Bakken oil fields, and looks forward to developing these relationships to enhance and expand DFM operations wherever flaring may be a challenge.”

The Denver-based miner uses natural gas that would otherwise be flared to power modular data centres. It recently completed a $505 million Series C funding round to support the expansion of its mining business. The company announced at the time that it intended to increase its workforce to 250 employees by the end of 2022.

Notably, this is not the company’s first acquisition deal. In an effort to vertically consolidate the business, Crusoe previously announced the acquisition of electrical maker Easter-Owens Electric Co.

Recently, there has been talk of industry consolidation in the bitcoin mining sector amid the ongoing crypto bear market, and businesses like CleanSpark have already taken advantage of current market conditions to acquire mining sites and thousands of mining equipment at heavy discounts.