Peak Mining, the bitcoin mining subsidiary of Germany-headquartered Northern Data, said it has started the construction of a 30-megawatt facility in Grand Forks, North Dakota.
The company said on Wednesday that the site is expected to be fully operational in Q1 next year, powering 1.1 EH/s in MicroBT’s WhatsMiner M53S++. That is part of the WhatsMiner equipment that Peak Mining purchased in a recent $150 million contract.
Northern Data is among a list of publicly traded mining companies that have not materially increased their installed hashrate capacities year-to-date and hence have witnessed the decline of their bitcoin production market share due to the rising network difficulty.
The firm recently signed a loan facility with stablecoin issuer Tether for about $600 million, which also made a strategic investment into the Northern Data group.
Peak Mining said the facility will be designed and constructed from scratch to fully replace an existing mining infrastructure, which allows it to expand available power capacities.
Northern Data operates about 4 EH/s in installed hashrate but it has one of the lowest hashrate realization rates among its public peers. Only about 62% of its installed hashrate over the past 12 months has effectively produced bitcoin output.