Bitfarms Ltd. has signed a binding Letter of Intent (LOI) to sell its 200 MW Bitcoin mining site in Yguazu, Paraguay, to HIVE Digital Technologies Ltd.
The deal, valued at $85 million, is set to close in the first quarter of 2025.
Under the agreement, Bitfarms will receive $25 million at closing, $31 million over six months, and $19 million as reimbursement for power deposits made to Paraguay’s electricity provider, ANDE. HIVE will also assume $10 million in remaining capital obligations.
The sale is part of Bitfarms’ strategy to focus on its U.S.-based growth pipeline, which includes a 1 GW infrastructure expansion for Bitcoin mining and HPC/AI. CEO Ben Gagnon highlighted the company’s shift toward becoming a North American energy and compute infrastructure provider.
The transaction significantly reduces Bitfarms’ anticipated 2025 capital requirements and average power costs by 10%. Once finalized, the company’s energy portfolio will comprise 80% North American and 20% international assets.
Bitfarms will continue operations in Latin America with three sites totalling 144 MW capacity, backed by long-term power contracts and competitive pricing. The sale will not affect its miner deployment schedule, but the company’s year-end 2025 capacity will drop from 955 MW to 755 MW.
This move aligns with Bitfarms’ broader strategy to diversify beyond Bitcoin mining and leverage opportunities in the growing HPC/AI sector. The sale follows its planned acquisition of Stronghold Digital Mining, which is expected to close in the coming months.
This news aligns with the growing trend of Bitcoin miners expanding. Recently, BitFuFu plans to acquire a majority stake in a 51-megawatt mining facility in Oklahoma, expected to close by mid-2025. The facility uses air-cooled miners and secures electricity at 3 cents per kilowatt-hour. CEO Leo Lu sees this as a key step in expanding in North America and reaching a 1GW global power capacity goal. The agreement is pending financial assessments, and BitFuFu’s stock rose 0.39% to $5.19.
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