Bitcoin mining company Bitdeer acquires lease for Ohio site

On June 28, Bitcoin mining company Bitdeer announced it entered into a 30-year leasing agreement with the Monroe County Port Authority for a site located at the Hannibal Industrial Park in Clarington, Ohio. According to the company’s announcement, the site previously featured an aluminum factory and has the necessary power infrastructure to host Bitdeer’s mining operations. Bitdeer aims to secure up to 570 MW of additional power through the site in two phases, with the first 266 MW delivered in Q3 2025, and the remaining 304 MW of power becoming available after a review by utility authorities.

Bitdeer garners attention from industry

In March, analyst Mark Palmer expressed confidence in Bitdeer, noting that the Bitcoin mining company had one of the lowest energy costs in the industry, with an average price of $0.04 per kilowatt hour. Later, in May, stablecoin issuer Tether announced a $150 million investment in Bitdeer, acquiring more than 18 million shares. The company also has a warrant to exercise the purchase of an additional 5 million shares at $10 per share.

The Bitcoin halving and the mining industry

Following the April 2024 halving, concerns about miner profitability have come under sharper focus as miners contend with high energy costs and a decreased block reward of 3.125 Bitcoin.

Research from Cantor Fitzgerald, a financial services firm, revealed that several Bitcoin mining companies might not be profitable following the April halving due to the all-in costs to mine a single Bitcoin. The report noted high mining costs between $43,913 and $62,276 per BTC for the 11 potentially impacted mining firms. Argo Blockchain Mining stood out in Cantor Fitzgerald’s research as the mining firm with the highest mining costs, at $62,276 per Bitcoin, while Hut8 closely followed at $60,360 to mine a single coin. However, Cantor Fitzgerald’s research uses a market price of $40,000 to determine the threshold for profitability and a return to this price level has not yet been seen post-halving.