Texas-based company Giga Energy announces the expansion of mining operations in Argentina, leveraging the phenomenon of gas flaring.
The US-based company Giga Energy has announced the opening of a new headquarters in Argentina. The company’s decision stems from its goal to focus on utilizing energy derived from gas flaring, a common practice in the South American country.
Gas flaring involves burning natural gas (primarily methane) extracted alongside oil, which constitutes a more polluting waste material than CO2. The combustion of methane produces CO2, making it less polluting. Instead of burning methane and allowing the flame to flare into the atmosphere, Giga Energy channels the methane into a generator, burns it internally, and thus generates electricity to power mining operations.
Giga Energy has been operating mining operations since 2019, with 150-megawatt containers deployed in the United States and Shanghai.
Project details
The project involves the installation of a large container designed to house thousands of ASICs close to an oil extraction plant. The initiative aims to reduce emissions, contributing to mitigating the environmental impact of operations. Additionally, it transforms wasted energy into a monetizable asset for oil producers.
The 2-megawatt mining center in Argentina, located in the province of Mendoza, has been undergoing various tests since last December. According to some sources, the facility has already generated between $200,000 and $250,000 in bitcoin.
Two companies will support Giga Energy’s expansion in Argentina: Exa Tech, an IT company responsible for managing the operations of the center, and Phoenix Global Resources, an oil company that will provide the gas needed for mining operations.
