Like Venezuela, which has made it a priority, Bitcoin mining could soon become a national affair in Russia, thanks in particular to Gazprom. Russian giant, which counts the state among its shareholders, has seen its oil subsidiary Gazpromneft to develop a solution for Bitcoin mining. It has in fact decided to use the gas produced on its drilling sites to supply mining plants and thus reduce electricity costs. The solution was quickly adopted by the country’s private mining pools.
Using CO2 released on oil drilling to produce cheaper electricity
10e world oil producer, the group Gazprom holds the gas monopoly in Russia with major supply projects to the rest of Europe. To get started in the cryptocurrency mining business, he decided to serve as a resource that was sufficiently available on the oilfields. Indeed, the extraction of the latter releases CO into the atmosphere2 whose management is the responsibility of the company. The latter being required to pay fines after having burned it in, Gazpromneft decided to use it for other purposes. It will now be aboutusing this gas as a source of energy to generate electricity in a power plant.
The company therefore opened a cryptocurrency mining site at one of its oil drilling sites using this process. The site which is located in the region of Khanty-Mansiysk north-west of the Siberia therefore has its own power station transforming gas into electricity. However, this is not a first in the world, since North American companies like Upstream Data and Crusoe Energy Systems also use the gas at drilling sites in the United States and Canada. With cheaper electricity, of good quality and in sufficient quantity, Gazpromneft has decided to supply the mining pools.
Pilot mining farm launched with mining company Vekus
Always on the lookout for such opportunities, Bitcoin mining companies were quick to approach Gazpromneft to operate their site. In partnership with the company Vekus, the Russian giant launched its first mining farm as part of a pilot project last fall. This houses a container equipped with 150 ASIC units Antminer S7 from Bitmain which allowed to mine in a month 1.8 BTC using 49,500 cubic meters of gas. Building on this success, Gazpromneft plans to expand the mining farm and obtain more ASICs from its customers, whether Vekus or others.
Gazprom is therefore creating another significant source of income for itself in an industry that generates enough profit given the current value of Bitcoin. This trend is also being followed in the rest of the country with Rosatom, the nuclear specialist, which also makes its electrical energy available to miners.