VANCOUVER – DMG Blockchain Solutions Inc. (TSX-V: DMGI) (DMGGF:OTC US) (FRANKFURT:6AX) a vertically integrated blockchain and cryptocurrency technology company, says it is pleased with the progress of its extensive long-term immersion cooling feasibility study, allowing the company to proceed with needed preparations for large-scale deployment in 2021. Immersion cooling will enable DMG to grow its operations in a sustainable way, as well as to reinforce its leadership in the area of innovation-driven Bitcoin mining.
DMG is developing its proprietary immersion cooling system which, compared to more conventional air-cooled mining rigs commonly used by most crypto mining companies, will add significant operations gains at a lower capital expenditure. Prior industry research and discussion with immersion providers and industry vendors have shown a minimum hashrate increase of 30% for crypto servers along with a decreased overall power consumption per hashrate of up to 10%, which constitutes significant cost saving potential for DMG’s operations. This, combined with lower capital expenditures, significantly lowers ROI time per megawatt of deployed mining, by up to 25%.
DMG’s existing Christina Lake substation is rated for 85MW, of which 60MW in transformers and other required high and middle voltage electrical equipment have already been fully installed. DMG’s facility has a Bitcoin mining capacity of 2.0 EH/s (exahash) of mining using air-cooled systems, and with immersion they say they expect a 30% increase in hashrate per miner, and therefore bitcoin as well.
DMG has invested in its immersion cooling testing in order to increase both the amount of hashrate its facility can generate as well as to develop a technology which is designed to work with any miners, so the company does not become reliant on any single manufacturer. DMG is now preparing for the retrofitting of air-cooled infrastructure to immersion cooling in one megawatt increments. Through this process, existing mining will continue with minimal to no downtime, thus not affecting their operations or clients.
“Through the use of immersion cooling, we believe we can obtain a 30% uplift on the labelled hashrate on any piece of mining equipment, or up to 130 TH/s from a standard 100 TH/s miner,” said DMG’s CTO, Adrian Glover. “The long-term future of DMG’s strategy is to run everything possible in immersion. After a short amortization period, our marginal additional infrastructure investment in the form of tanks, dry coolers, pumps, fluid, etc., will create significant gains for DMG and create a competitive advantage beyond what air-cooling can achieve.”
The company says it has sufficient funds on hand (for 30 megawatts) to complete the initial first phase of retrofitting of the facility. Future changes in the network-wide mining difficulty rate or Bitcoin hashrate may also materially affect the future performance of DMG’s production of Bitcoin. They say future results could be materially affected by the price of Bitcoin and an increase in hashrate mining difficulty.
DMG is a vertically integrated blockchain and cryptocurrency company that manages, operates, and develops end-to-end digital solutions to monetize the blockchain ecosystem. DMG’s businesses are segmented into three main divisions: data centre operations, data analytics and forensics and developing enterprise blockchains. DMG’s data centre operations focus on earning revenues from block rewards and transaction fees by mining primarily bitcoin as well as providing hosting services for industrial mining clients.
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