TeraWulf Starts Nuclear-Powered Bitcoin Mining With Nearly 8,000 Rigs at Nautilus Facility

The miner also said it expects to reach 5.5 EH/s of computing power across its two sites by early in the second quarter.

AccessTimeIconMar 6, 2023 at 3:33 p.m. UTC
Updated May 9, 2023 at 4:09 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

TeraWulf (WULF) has begun operations at its Nautilus Cryptomine facility – the first nuclear-powered bitcoin mining facility in the U.S. – with nearly 8,000 mining rigs online representing computing power, or hashrate, of about 1.0 exahash per seond (EH/s).

The company expects to have about another 8,000 rigs energized in coming weeks, bringing capacity at the Pennsylvania-based Nautilus facility to 1.9 EH/s by May, according to a Monday press release.

Nautilus will significantly lower TeraWulf's energy costs, with the company having secured a power agreement for 2 cents per kilowatt hour (kWh) of power for five years, which will bring its average energy cost down to about 4 cents/kWh across its two facilities. That's much lower than the U.S. industrial average of 9 cents/kWh that the Energy Information Administration reported in December 2022, as well as the variable rate TeraWulf pays at its New York site, which averages 5 cents/kWh.

Along with its mining peers, TeraWulf has struggled mightily during the crypto winter as declining bitcoin prices teamed with rising energy costs. The Maryland-based company had to embark on a series of cost-cutting initatives in November and raised $10 million in new capital in December to repay some of its debt. However, both crypto and energy markets have improved somewhat in early 2023, and the mining industry is showing early signs of recovery.

The Nautilus mine is "the first behind-the-meter bitcoin mining facility of its kind, directly sourcing reliable, carbon free, and 24x7 baseload power from the 2.5GW Susquehanna nuclear generation station in Pennsylvania," according to TeraWulf. It is a joint venture with Texas energy producer Talen Energy, in which TeraWulf has a 25% interest.

The company said Monday it expects to reach 5.5 EH/s of computing power by early in the second quarter.

WULF stock is down 2.5% to 64 cents in recent Monday trading.


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.

Eliza Gkritsi

Eliza Gkritsi is a CoinDesk contributor focused on the intersection of crypto and AI.


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.