New York-based Cipher Mining (NASDAQ:CIFR), a Bitcoin data center developer and operator, said Tuesday (October 15) that it has signed option agreements with Juvo Energy to acquire three data center sites in Texas.
According to the company, the agreements involve two locations in North Texas and one in West Texas, each of which offers 500 megawatts of potential capacity across a total land area of more than 580 acres.
Cipher plans to use the sites to develop high-performance computing (HPC) and Bitcoin-mining data centers.
Under the deals, Cipher has a 24 month window to exercise its options to either lease or purchase the sites. The ultimate cost of acquiring the land will depend on the total megawatts approved for interconnection at each site.
The locations are adjacent to transmission assets and are close to final approval stages for interconnection, making them well positioned for the development of large-scale, energy-intensive data centers.
Cipher CEO Tyler Page highlighted that the sites offer strategic value for the company, allowing it to secure premium areas early in the development process. “We have seen increasing demand from hyperscalers for large sites that can be energized within the next three years,” he said in the press release published by the company.
He emphasized that Cipher’s early involvement provides long-term benefits for supply chain management and construction, giving it a competitive edge in locking down sites that can be brought online within the next few years.
The acquisition of these sites will further expand Cipher’s growing portfolio of Bitcoin-mining and data center operations. The company’s total active and planned capacity will now reach 2.5 gigawatts across 10 locations.
Juvo Energy, the company providing the land, specializes in developing powered land sites across the US. Juvo Energy’s portfolio includes over 6 gigawatts of projects currently under development.
For its part, Cipher is focused on advancing the infrastructure of the Bitcoin network by developing and operating energy-efficient Bitcoin-mining data centers. Through these acquisitions, Cipher aims to strengthen its position as a leader in the sector by expanding its hosting capabilities for both HPC and Bitcoin-mining operations.
With these latest agreements, the company is poised to make progress in its efforts to develop large-scale Bitcoin mining and HPC facilities in Texas, one of the nation’s key energy hubs.
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.