LONDON, UK: Argo Blockchain plc, a global leader in cryptocurrency mining (LSE: ARB) announced that Argo Helios LLC, a wholly owned Delaware-registered subsidiary of Argo Blockchain plc, has entered into an equipment financing agreement with NYDIG ABL LLC, a wholly owned subsidiary of New York Digital Investment Group LLC.
As part of the Financing Agreement, NYDIG has loaned Argo Helios an aggregate principal amount of $26.66 million (£20.23 million) to recapitalize the purchase of electrical infrastructure equipment for the Company’s flagship cryptocurrency mining facility, Helios, in Dickens County, Texas.
The Company anticipates being able to energize the 200MW Helios facility, and is still on track for facility completion, in the first half of 2022.
The aggregate principal amount outstanding bears interest of 8.25% per annum and has a term of four years. Outstanding borrowings under the Financing Agreement are secured by the Financed Equipment and the contracts to acquire the Financed Equipment.
Peter Wall, Chief Executive of Argo, said: “We are delighted to secure this non-dilutive funding which will enable us to complete a crucial stage in our fit out of our Helios site. NYDIG is one of the foremost bitcoin finance companies in the industry and we are excited to leverage their knowledge and insight of the sector in this newly formed relationship”.
Josh Burandt, Head of Mining Services at NYDIG, said “The mission of our mining services business is to help secure the bitcoin network by supporting the growth of the world’s leading Bitcoin miners. In pursuit of that mission, we are excited to partner with Argo and provide infrastructure financing for the launch of their state-of-the-art Texas facility.”