The British company plans to leverage natural gas for mining, paving the way for a corporate treasury strategy.
Union Jack Oil, a UK-listed energy firm, has unveiled a project to convert natural gas from the West Newton site into electricity to power bitcoin mining operations.
The announcement, published on August 7 in the company’s operational update, highlights how mining can generate early cash flow from wells that would otherwise remain unused. The project is being developed through a partnership with Rathlin Energy and Texas-based 360 Energy, a company specialized in transforming stranded or flared gas into power for localized data centers.
The collaboration is based on a letter of intent outlining the implementation of 360 Energy’s In-Field Computing technology to launch mining operations directly at the West Newton A site, pending the necessary regulatory approvals.
David Bramhill, executive chairman of Union Jack, stated that the success of the project could lead the company to “introduce a new Bitcoin Treasury strategy.”
Union Jack Oil acquired its stake in West Newton in 2019, after operator Rathlin Energy discovered gas deposits at the site. Subsequent drilling placed West Newton among the largest onshore gas discoveries in the United Kingdom.
However, the site remains inactive due to planning delays and regulatory uncertainties that have slowed the development of the infrastructure needed to bring the gas to market. “Regulatory uncertainty has unduly hampered progress,” Bramhill said.
Rather than waiting for approvals and infrastructure development, Union Jack plans to use the gas on-site to power mining facilities, generating early revenues without relying on traditional development timelines.
“Onshore developers and producers have been forced to think outside the box to make progress and drive growth,” Bramhill explained. He described the mining initiative as “innovative” and capable of delivering “strong prospects for sustainable returns.”
