Bitcoin Miner Marathon Eyes Profitability Boost Through Joint Venture with US Power Provider

The joint venture will see Marathon co-locate a bitcoin mining facility within Beowulf's Big Horn Data Hub at its 105-megawatt power station in Hardin, Montana.

AccessTimeIconOct 13, 2020 at 2:18 p.m. UTC
Updated May 9, 2023 at 3:12 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Nasdaq-listed company Marathon Patent Group is forming a new joint venture with a U.S. power provider that will bring a supply of cheap energy for its bitcoin mining operations.

  • In an announcement Tuesday, Marathon said it's teamed up with Maryland-based Beowulf Energy for the venture. Beowulf develops and operates power generation and industrial infrastructure facilities internationally.
  • The arrangement will see Marathon co-locate a bitcoin mining facility within Beowulf's Big Horn Data Hub at its 105-megawatt power station in Hardin, Montana.
  • Beowulf will supply electricity for the mining farm at a production cost of $0.028 per kWh, according to the announcement.
  • That's 38% below Marathon's current aggregate power cost for mining and facility operations, $0.034 per kWh.
  • The company says this, in turn, will cut its breakeven costs to mine one bitcoin from approximately $7,500 currently to $4,600.
  • Under the deal, Beowulf is also becoming an equity shareholder in Marathon, while the mining firm will retain all of the bitcoin mined at the Big Horn facility.
  • Marathon plans to install 11,500 S19 Pro Antminers previously acquired from manufacturer Bitmain; 500 of the devices are already in place, it said.
  • The facility is expected to be fully operational in Q2 2021, with an output around 1.265 exahashes per second.
  • Marathon said the center has the capacity for nearly three times the planned number of miners, giving ample scope for future expansion.
  • Aptos' APT Token Down 52% in April After Booming March: VanEck
    01:08
    Aptos' APT Token Down 52% in April After Booming March: VanEck
  • Key Events You Shouldn't Miss at Consensus 2024
    02:13
    Key Events You Shouldn't Miss at Consensus 2024
  • What to Expect From Consensus 2024
    11:19
    What to Expect From Consensus 2024
  • Will Solana and Altcoins Dominate the Market Next?
    13:29
    Will Solana and Altcoins Dominate the Market Next?
  • Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.