TeraWulf announces plans to scale Bitcoin mining, AI operations

Bitcoin (BTC) miner TeraWulf announced it has fully satisfied its debt obligations and plans to scale up its operations.

On July 9, the firm said its final debt payment amounted to $77.5 million, including pre-payment fees and accrued interest. TeraWulf completed the repayment ahead of schedule and has no outstanding debt.

Scaling up

TeraWulf said the payment gives it “maximum financial flexibility,” allowing it to scale and deploy infrastructure for Bitcoin mining, high-performance computing (HPC), and AI applications.

TeraWulf CFO Patrick Fleury said “profitability and strong cash generation” allowed the firm to complete the repayment. He said the company’s lack of debt will enable it to commit future profits to organic growth, potential dividends, and share buybacks.

CEO Paul Prager said TeraWulf is identifying and creating applications on an ongoing basis and noted that the firm has immediate access to hundreds of megawatts (MW) of infrastructure.

TeraWulf plans to expand its operational infrastructure capacity to 295 MW in 2024 from 210 MW and may increase its capacity by another 300 MW in the near future.

TeraWulf’s June results

TeraWulf’s  June production and operations report, published on July 3, indicates that the company mined 177 BTC in June, down from 186 BTC in May.

The firm reported an installed and operational hash rate of 8.8 exahashes per second (EH/s) as of June 30, marking a 76% year-over-year increase. Meanwhile, its average operating hash rate stood at 7.1 EH/s in June, down from 7.6 EH/s in the previous month.

Competing miners, including Marathon and Riot, CleanSpark, and others, also recently reported their June performance. Many firms have experienced declining hash rates since April due to Bitcoin’s halving, but some have reported increased hash rates or BTC output in the long term.

TeraWulf also emphasized growth at its Lake Mariner facility. It said construction of Building 4 and new miner deployments will help it surpass 10 EH/s in July. The Lake Mariner site is also the focus of the company’s AI and HPC computing pilot projects.

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