Digihost announces 54% annual increase in monthly bitcoin

Digihost announces 54% annual increase in monthly bitcoin


Toronto, September 7, 2022 (GLOBE NEWSWIRE) – Digihost Technology Inc. (“Digihost“or the”a company(Nasdaq: DGHI; TSXV: DGHI), a US-based innovative Bitcoin (“BTC“), the miner is pleased to present the comparative unaudited BTC production results for the month ending August 31, 2022, along with the operations update. All monetary references are expressed in US dollars unless otherwise noted.

Production highlights for August 2022

  • 67.97 BTC was mined, resulting in a total holding of 176.61 BTC at the end of August worth approximately $3.54 million based on the BTC price of $20,050 as of August 31, 2022.
  • Ethereum (“ETH”) holdings of 1,000.89 ETH at the end of August are valued at approximately $1.56 million based on the ETH price of $1,554 as of August 31, 2022.
  • The total value of the digital asset stock, consisting of BTC and ETH, is approximately $5.10 million as of August 31, 2022.
  • To avoid diluting shareholder equity, management sold a portion of BTC production during August to fund energy costs.
  • The company remains debt-free as of August 31, 2022.
  • Continuing to support the energy needs of the local community, the company reduced its total energy consumption during August 2022 with its operations operating mostly during off-peak hours.

Annual comparison on a monthly basis

The company mined approximately 23.90 more bitcoins in August 2022, compared to August 2021, which is an increase of approximately 54.2%.

Figure 1. Monthly Bitcoin Production Year on Year

August 22 August 21 monthly increase
BTC mining 67.97 44.07 23.90
Approximate BTC Value $20,050 $47,167 ($27,117 )
production value $1,362,799 $2,078,650 ($71,851 .) )

Comparison over the year from the beginning of the year to date

The company mined approximately 184.36 BTC on an annual basis as of August 31, 2022, compared to the same period ended August 31, 2021, which is an increase of approximately 47.6%.

Figure 2. BTC Production Year on Year

Since the beginning of 2022 Since the beginning of 2021 Increase from the beginning of the year to date
BTC mining 571.80 387.45 184.36
Approximate BTC Value $20,050 $47,167 ($27,117 )
production value $11464,590 18274854 dollars $4,930,758 )

Building a site in Alabama

Digihost is pleased to announce that during the month of August it has received Public Service Commission approval for a discount on the Economy Passenger fare. This discount, along with lower direct energy costs negotiated with Alabama Power, will result in an overall reduction in Digihost’s operating costs. Alabama Power Agreements provide the company with highly competitive energy costs in the current inflationary environment furthering Digihost’s strategic decision to expand and diversify its operations to Alabama.

The company continues to develop facility construction and construction work in Alabama on schedule and within budget. Digihost is building the necessary infrastructure to supply the property with a capacity of 22 megawatts during the fourth quarter of 2022 and a total of 55 megawatts by the end of the first quarter of 2023.

Cancellation of stock options

The Company also announces that it has agreed with certain officers and directors of the Company to void a total of 1,149,998 stock options (options in respect of 166,666 shares previously exercisable at $2.88 per share, and options relating to 266,666 previously exercised shares). at $3.75 per share., options in respect of a total of 558,333 shares previously exercisable at $7.47 per share, and options relating to 158,333 shares previously exercisable at $4.20 per share). Canceled options are voluntarily waived by their owners at no charge.

Incentive stock award

The Company also plans to provide an incentive grant pursuant to a stand-alone grant agreement outside of the Company’s equity incentive plans as an incentive material to the Company’s Vice President for operations that go into business with the Company. The incentive grant is approved by the Company’s Board of Directors and consists of the issuance of 19,391 secondary voting shares of the Company (“incentive shares”) at a disguised price of C$6.54 per stimulus share. The issuance of incentive shares is subject to approval by regulators, including the TSX Venture exchange.

early warning

The Company announces that Michel Ammar, the CEO of the Company, has submitted an early warning report regarding his holdings in the Company as a result of the acquisition of the Company’s shares. On September 2, 2022, Mr. Ammar acquired a total of 55,344 shares of the Company through a series of acquisitions made through NASDAQ facilities for a total consideration of US$39,328.55 (“”series of acquisitions“).

Immediately prior to the series of acquisitions, Mr. Ammar directly or indirectly owned 4,803,928 secondary voting shares of the company (“SV . shares“) and 3,333 shares in proportion to the voting in the company (“PV share“), or approximately 17.16% of SV’s then issued and outstanding shares on an undiluted basis and approximately 19.09% on a partially diluted basis. After the series of acquisitions, Mr. Ammar directly or indirectly owned 4,859,272 SV shares and 3, 333 PV shares, or approximately 17.36% of SV’s issued and outstanding shares on an undiluted basis and approximately 19.28% on a partially diluted basis.Since the submission of Mr. Amar’s previous early warning report on March 1, 2021, the company’s share capital has increased and Mr. Amar’s holdings in securities have decreased The financial position of the company exceeds 2% of the issued and outstanding shares as a result of dilution.

Mr. Ammar reviews his holdings from time to time and may increase or decrease his position as future circumstances may dictate. This press release is issued in accordance with National Tool 62-103 – Early Warning System, Related Acquisition Bidding and Insider Reporting Issues In connection with the submission of an early warning report on September 7, 2022. The early warning report was submitted in the Electronic Document Analysis and Review System (“EDAS”).cedar”) within the company’s issuer profile at https://www.sedar.com.

About Digihost

Digihost is a growth-oriented blockchain technology company that primarily focuses on BTC mining. Through self-mining operations and joint venture agreements, the company currently retails at a rate of approximately 650 PH/s.

All hosting fees and joint venture profit sharing are treated as production costs in the company’s consolidated financial statements.

For more information, please contact:

Digihost Technology Inc.
www.digihost.ca
Michel Ammar, CEO
Tel: 1-818-280-9758
Email: michel@digihost.ca

cautionary statement
Trading in the company’s securities should be considered highly speculative. No stock exchange, Securities Commission or any other regulatory authority has approved or rejected the information contained herein. Neither TSX Venture Exchange nor the Regulatory Services Provider (as defined in the TSX Venture Exchange policies) accept responsibility for the adequacy or accuracy of this release.

forward-looking statements
Except for statements of historical fact, this press release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking information”) that are based on expectations, estimates and projections at the date of this press release and are covered by safe harbors under Canadian and US securities laws. The forward-looking information contained in this press release includes information about potential incremental improvements to profitability and efficiency across mining operations Including, as a result of the company’s expansion efforts, the company’s long-term growth potential, and the company’s business goals and objectives. Factors that could cause actual results to differ materially from those described in this forward-looking information include, but are not limited to: future capital needs and uncertainty about additional financing, including the Company’s ability to benefit from the Company’s market offering program. (the “ATM Program”) and the prices at which the Company may sell securities in the ATM Program, as well as capital market conditions in general; stock dilution resulting from the ATM program and other stock issuances; Risks related to the strategy of maintaining and increasing bitcoin holdings and the impact of lower bitcoin prices on working capital; regulatory and other unforeseen issues that prevent us from declaring or paying dividends to our shareholders payable in bitcoin; The ongoing effects of the COVID19 pandemic may have a material negative impact on company performance as supply chains are disrupted and the company is prevented from operating its assets; obtain Public Service Commission approval or other regulatory or board approval at the appropriate time, or at all; Acquisition of North Tonawanda, New York facilities and their timely shutdown, or closure at all; the ability to access additional power from the local power grid; a decrease in the price of cryptocurrencies, the volume of transaction activity or, in general, the profitability of cryptocurrency mining; Further improvements to profitability and efficiency may not be realized; digital currency market; The company’s ability to successfully mine digital currencies on the cloud; The company may not be able to profitably liquidate its existing cryptocurrency stock, or at all; The decline in cryptocurrency prices may have a significant negative impact on the company’s operations; volatility of cryptocurrency prices; and other related risks as fully set forth in the Company’s Annual Information Form and other documents disclosed pursuant to the Company’s filings on www.sedar.com. The forward-looking information contained in this press release reflects the Company’s current expectations, assumptions, and/or beliefs based on information currently available to the Company. In connection with the forward-looking information contained in this news release, the Company has made assumptions about: current profitability in cryptocurrency mining (including pricing and current transaction activity volume); profitable use of the company’s assets in the future; The company’s ability to profitably liquidate its digital currency inventory as required; The historical prices of digital currencies and the company’s ability to mine digital currencies on the cloud will be consistent with historical prices; The ability to maintain reliable and economical energy sources for powering cryptocurrency mining assets; the negative impact of regulatory changes in the energy systems of the jurisdictions in which the company operates; The ability to adhere to Digihost’s dividend policy and the timing and amount of dividends based on, among other things, the Company’s operating results, cash flows and financial condition, Digihost’s current and projected capital requirements, and general business conditions; There will be no regulation or law that prevents the company from conducting its business. The company has also assumed that there are no significant events that fall outside the company’s normal business. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, the forward-looking information is not a guarantee of future performance, and therefore it should not place undue reliance on such information due to its inherent uncertainties.



Source link

Leave a Comment