The post UK Oil Company to Power Bitcoin Mining with Natural Gas appeared first on Coinpedia Fintech News
Union Jack Oil, a UK-listed onshore oil and gas company, is exploring a bold move into crypto mining by powering Bitcoin operations directly from natural gas produced at its West Newton site. The company announced it has signed a non-binding letter of intent with Texas-based 360 Energy to deploy mining infrastructure on-site.
The move is part of a joint venture with Reabold Resources and Rathlin Energy, the latter acting as operator of the West Newton field. The companies say the plan could offer a way to unlock near-term cash flow from the site, well before full-scale gas development begins.
Tapping Gas for Digital Gold
Under the proposal, natural gas from discovery wells at West Newton would fuel generators powering mobile data centers designed for Bitcoin mining. 360 Energy’s so-called In-Field Computing (IFC) technology would be deployed initially at the WNA-2 well site, with the potential for broader expansion across the field. The initial IFC unit is set to be installed at the West Newton A site, pending regulatory and third-party approvals. According to the joint venture, this strategy could generate near-term cash flow, ahead of any full-scale gas field development.
A feasibility study conducted by Rathlin concluded that this early monetization strategy could deliver “very attractive returns,” especially given that some of the gas wells might not otherwise contribute to long-term development plans.
“Cryptocurrency mining offers an innovative and significant near-term value-generating opportunity,” David Bramhill, Executive Chairman of Union Jack, said in a statement. He called the initiative a “positive update” that reflects the company’s creative approach to maximizing underutilized resources.
However, Bramhill also acknowledged that UK regulatory delays have been a challenge. Still, early indications of a more favorable stance toward onshore energy are encouraging, and the company sees this as a hybrid opportunity to fuse traditional energy practices with digital innovation.
Crypto Market Today: BTC and ETH Remain Strong Amid Global Tensions and Institutional Buying
,
Still Early Days, but Momentum Builds
While the deal with 360 Energy remains non-binding for now, the joint venture partners are working toward a definitive agreement. Any rollout would still require regulatory and third-party approvals.
If the plan moves ahead, it would mark one of the first known attempts to integrate crypto mining into upstream energy operations in the UK, a trend more commonly seen in North America.
The shift also reflects a broader pattern in the energy sector, where companies are experimenting with off-grid mining solutions to monetize stranded or underutilized gas reserves.
Meanwhile, Union Jack holds a 16.665% stake in the West Newton PEDL183 license. With energy prices under pressure and crypto markets eyeing renewed momentum, the move could offer a timely hedge for the company’s future revenues.
function subscribed_popupmodal(template_id) { var templateId = ‘6’; getAllSubscriberCategoryList([templateId]); var subcribemodal = window.parent.document.getElementById(‘subscribe-modal-design’); if (subcribemodal) { var modalContent = `
Never Miss a Beat in the Crypto World!
Stay informed and gain the edge you need to navigate the crypto world. Select your subscription now
if (storeCheckedId.length === 0) { var unsubcribedPopUpmodal =
`
You’ve Unsubscribed Successfully
We’re sorry to see you go! Your subscription has been canceled. If you change your mind, you can re-subscribe anytime. Thank you for being part of our community!
Thank you for subscribing to our crypto and blockchain newsletter! You’ll now receive the latest news, insights, and updates straight to your inbox. Welcome to our community!
`;
let selectedSubscriptionsArray = selectedSubscriptionsString.split(‘,’); let subscribedCategories = selectedSubscriptionsArray.map(subscription => subscription.split(‘_’)[0]); let subscribedCategoriesString = subscribedCategories.join(‘, ‘);
subscribedmodal.innerHTML = subscribedPopupModal; if (document.getElementById(‘selectidname’)) { document.getElementById(‘selectidname’).textContent = subscribedCategoriesString; }
function closeModal(template_id) { var modalId = template_id; var modal = document.querySelector(‘#’ + modalId); // Using querySelector to find the modal
// Function to get cookies function getCookie(name) { let value = “; ” + document.cookie; let parts = value.split(“; ” + name + “=”); if (parts.length == 2) return parts.pop().split(“;”).shift(); }
// Get user token from cookies const userToken = getCookie(‘user_token’);
if (subscribewithoutData === ‘true’ && userToken) { // Call the modal function with the category ID subscribed_popupmodal(subscribe_clicked_cat_id);
// Remove the flag and category ID from localStorage localStorage.removeItem(‘subscribe_without_Login’); localStorage.removeItem(‘subscribe_clicked_id’); } });
var listItems = document.querySelectorAll(‘.subscription-options li’); if (listItems.length === 0) return;
var anyActive = false; listItems.forEach(function(item) { var checkbox = item.querySelector(‘input[type=”checkbox”]’); if (checkbox) { if (checkbox.checked) { item.classList.add(‘active’); anyActive = true; // Set anyActive to true } else { item.classList.remove(‘active’); // Remove ‘active’ class if checkbox is unchecked } } });
}
function updateButtonText(anyActive) { var subscribeButtonSpan = document.querySelector(‘.subscribe-submit .changeBtnText’); if (subscribeButtonSpan) { if (anyActive) { subscribeButtonSpan.textContent=”Subscribe Now”; } else { subscribeButtonSpan.textContent=”Unsubscribe”; } } }
function updateSubscriptionButton() { var listItems = document.querySelectorAll(‘.subscription-options li’); if (listItems.length === 0) return;
var anyActive = false; listItems.forEach(function(item) { var checkbox = item.querySelector(‘input[type=”checkbox”]’); if (checkbox) { if (checkbox.checked) { item.classList.add(‘active’); anyActive = true; // Set anyActive to true } else { item.classList.remove(‘active’); // Remove ‘active’ class if checkbox is unchecked } } });
// Update the button text based on whether any list item has the ‘active’ class updateButtonText(anyActive); } document.addEventListener(‘click’, function(event) { var clickedItem = event.target.closest(‘.subscription-options li’); if (clickedItem) { var checkbox = clickedItem.querySelector(‘input[type=”checkbox”]’); if (checkbox) { checkbox.checked = !checkbox.checked; updateSubscriptionButton(); } } });
FAQs
Why is an oil company getting into Bitcoin mining?
Union Jack Oil plans to monetize unused natural gas by powering Bitcoin mining operations, creating early revenue before full gas field development at West Newton.
What are the expected benefits for Union Jack Oil?
The hybrid model offers “very attractive returns” by generating cash flow from otherwise unused gas wells while awaiting full field development approvals.
When will the Bitcoin mining operation begin?
Initial deployment at West Newton A awaits regulatory approvals, with potential expansion across the field if the non-binding agreement becomes finalized.