- Operating approximately 195,000 owned and colocated ASIC
servers
- Produced 1,221 self-mined bitcoins
- Deployed first BITMAIN ANTMINER S19 XPs in the United
States
Core Scientific, Inc. (NASDAQ: CORZ) (“Core Scientific”
or “the Company”), a leader in high-performance blockchain data
centers and software solutions, today announced production and
operational updates for July 2022.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20220805005098/en/
Core Scientific is one of the largest
publicly traded blockchain data center providers and miners of
digital assets in North America. (Photo: Business Wire)
“We deployed 14,000 new ASIC servers in July. These deployments
increased our total hashrate to approximately 19.3 EH/s,
representing the largest operating capacity of any listed company
in North America,” said Mike Levitt, Core Scientific Chief
Executive Officer. “In addition, we signed new colocation
agreements with customers that should, once the servers are
deployed later this year, generate approximately $50 million in
annual revenue. During the month of July, we continued to enhance
liquidity, strengthen our balance sheet, streamline our
organization and make further progress toward achieving our 2022
operating objectives.”
Data Centers
Data centers owned and operated by the Company in Georgia,
Kentucky, North Carolina and North Dakota continued to operate as
expected. The Company now has multiple facilities operational in
Texas, with significant future development planned for Texas and
Oklahoma in 2022.
As of month-end, the Company operated approximately 195,000 ASIC
servers, representing 19.3 EH/s, in its data centers.
Self-Mining
Core Scientific’s self-mining operations produced 1,221 bitcoins
in July. The Company expanded its fleet of self-mining servers by
6%, from approximately 103,000 to 109,000, and increased its
hashrate by 6%, from 10.3 EH/s to 10.9 EH/s over the prior month.
Bitcoin production benefitted from the deployment of approximately
6,000 net new servers during the month. Concurrently, a substantial
increase in curtailment activity due to extreme temperatures at
multiple data centers limited production advances during the
period.
The Company’s fleet of ASIC servers produced 10.9 EH/s and 42
bitcoins per day at month end. The Company expects to deploy
approximately 60,000 additional self-mining ASIC servers before the
end of 2022. As of July month end, self-mining accounted for
approximately 56% of the Company’s total hashrate.
Colocation Services
In addition to its self-mining fleet, as of July 31, 2022, Core
Scientific provided data center colocation services, technology and
operating support for approximately 86,000 customer owned ASIC
servers, a net monthly increase of approximately 7,600 or 10%,
generating 8.4 EH/s. During the month of July the Company signed
colocation agreements with customers totaling 75MW and representing
approximately $50 million in annual revenue when fully deployed. On
July 19, Core Scientific deployed the first BITMAIN ANTMINER S19 XP
servers in the United States for its customer, NFN8 Group, Inc. The
S19 XP servers are rated to operate at up to 140 TH/s and represent
the first of many planned for deployment by the Company for
self-mining and colocation customers.
As of July month end, colocation services accounted for
approximately 44% of the Company’s total hashrate. Inquiries for
colocation services continue to exceed the Company’s available
infrastructure.
Bitcoin Sales
During the month of July, the Company sold 1,975 bitcoins at an
average price of approximately $22,000 per bitcoin for total
proceeds of approximately $44 million. As of July 31, 2022, the
Company held 1,205 bitcoins and approximately $83 million in cash
on its balance sheet.
Proceeds from bitcoin sales in July were primarily used to pay
for capital investments related to increasing data center capacity
as well as payments due to Bitmain for the 100,000 ASIC server
order placed in 2021. The Company has less than $10 million in ASIC
server payments remaining, excluding anticipated shipping and
customs charges. Core Scientific will continue to sell self-mined
bitcoins to pay operating expenses, fund growth, retire debt and
maintain liquidity.
Grid Support
In the month of July, the Company completely powered-down its
Texas data center operations on several occasions to support the
Texas grid operator during periods of extremely high temperatures.
Curtailments in July as a result of extreme temperatures in
multiple data centers totaled 8,157 megawatt hours. Core Scientific
works with the communities and utility companies in which it
operates to enable and ensure electrical grid stability.
ABOUT CORE SCIENTIFIC
Core Scientific is one of the largest publicly traded blockchain
data center providers and miners of digital assets in North
America. Core Scientific has operated blockchain data centers in
North America since 2017, using its facilities and intellectual
property portfolio for colocated digital asset mining and
self-mining. Core Scientific operates data centers in Georgia,
Kentucky, North Carolina, North Dakota and Texas, and expects to
commence operations in Oklahoma in the second half of 2022. Core
Scientific’s proprietary Minder® fleet management software combines
the Company’s colocation expertise with data analytics to deliver
maximum uptime, alerting, monitoring and management of all miners
in the Company’s network. To learn more, visit
http://www.corescientific.com.
FORWARD LOOKING STATEMENTS AND EXPLANATORY NOTES
This press release includes “forward-looking statements'' within
the meaning of the “safe harbor” provisions of the United States
Private Securities Litigation Reform Act of 1995. Forward-looking
statements may be identified by the use of words such as
“estimate,” “plan,” “project,” “forecast,” “intend,” “will,”
“expect,” “anticipate,” “believe,” “seek,” “target” or other
similar expressions that predict or indicate future events or
trends or that are not statements of historical matters. These
forward-looking statements include, but are not limited to, those
related to the Company’s ability to scale and grow its business,
meet its 2022 operating plan, source clean and renewable energy,
the advantages and expected growth of the Company, future estimates
of revenue, net income, adjusted EBITDA, total debt, free cash
flow, liquidity and future financing availability, future estimates
of computing capacity and operating capacity, future demand for
colocation capacity, future estimate of hashrate (including mix of
self-mining and colocation) and operating gigawatts, future
projects in construction or negotiation and future expectations of
operation location, orders for miners and critical infrastructure,
future estimates of self-mining capacity, the public float of the
Company’s shares, future infrastructure additions and their
operational capacity, and operating capacity and site features of
the Company’s operations and planned operations in Texas and
Oklahoma. These statements are provided for illustrative purposes
only and are based on various assumptions, whether or not
identified in this press release, and on the current expectations
of the Company’s management. These forward-looking statements are
not intended to serve, and must not be relied on by any investor,
as a guarantee, an assurance, a prediction or a definitive
statement of fact or probability. Actual events and circumstances
are difficult or impossible to predict and will differ from
assumptions. Many actual events and circumstances are beyond the
control of the Company. These forward-looking statements are
subject to a number of risks and uncertainties, including those
identified in the Company’s reports filed with the U.S. Securities
& Exchange Commission, and if any of these risks materialize or
our assumptions prove incorrect, actual results could differ
materially from the results implied by these forward-looking
statements. Accordingly, undue reliance should not be placed upon
the forward-looking statements.
Month over month comparisons are based on the combined results
of Core Scientific and its acquired entities and are unaudited.
Core Scientific provides this and any future similar unaudited
updates to provide shareholders with visibility into the Company’s
results and progress toward previously announced capacity and
operational projections.
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version on businesswire.com: https://www.businesswire.com/news/home/20220805005098/en/
Investors: Steven Gitlin ir@corescientific.com
Media: press@corescientific.com
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