The Russian mining company BitRiver is expanding its operations with a new center in Eastern Siberia.
The expansion plans for the new 100 MW facility will be managed by the BitRiver-B subsidiary. With an investment of over $15.15 million for the new infrastructure, the company expects the center to be operational by the second half of 2024. The facility will be located in Buryatia, a Russian-Mongolian region.
Sergei Bezdelov, head of the Industrial Mining Association (APM), commented on the project, stating that the facility will be “among the largest mining centers in both the Republic of Buryatia and the Far Eastern Federal District.” It is expected that the infrastructure will create approximately 120 jobs for qualified specialists.
The company’s challenges
Despite BitRiver facing sanctions from the US Treasury Department in 2022, the company remains committed to advancing its expansion plans.
BitRiver CEO Igor Runets stated that Bitcoin mining will become much more profitable in Russia than in the United States after the next halving. He also declared that Russia’s energy mix is one of the greenest globally, thanks to the ample availability of hydroelectric and nuclear power plants.
Meanwhile, the Russian Ministry of Energy intends to raise electricity costs for industrial mining. The APM has warned that increasing fees could undermine Russia’s competitive advantage against other global industry players.
