Soluna and Bitdeer have expanded their existing agreement for Project Kati 1 by approximately 7 MW, bringing Bitdeer's total planned deployment at the South Texas wind-powered site to 35 MW. The expansion comes shortly after the companies announced their initial 28 MW agreement in August, and before that original deployment has fully ramped up.
Deployment Details and Equipment
Under the amended agreement, Bitdeer will supply and own the mining equipment, utilizing Sealminer A2 Pro Air machines. Soluna provides the data-center site, power, and operating infrastructure, with the two companies sharing the mining proceeds generated by the operation.
The additional 7 MW is expected to be deployed by November, raising Bitdeer's total hash rate at Project Kati 1 to approximately 2.42 EH/s. This expansion also fully subscribes the K1BC phase of the project, meaning the capacity allocated to that section is now entirely spoken for.
Co-Mining Model and Facility Background
The arrangement utilizes a co-mining structure rather than a traditional hosting deal. Instead of relying solely on fixed hosting revenue for power and rack space, Soluna gains exposure to the Bitcoin produced by the machines. For Bitdeer, the model provides access to power and infrastructure without the need to build a new site from scratch.
Project Kati 1 is an 83 MW facility connected with wind generation located in Willacy County, Texas. Soluna's business model centers on locating energy-intensive computing, primarily Bitcoin mining, near renewable generation that would otherwise be curtailed or underused, while positioning its sites for other forms of high-performance computing.
