Capstone Green energy enters an agreement: Step forward towards cleaner future

• Capstone Green energy plans to provide 4 Mw of energy to a cryptocurrency mining operation, recently came into a rental agreement.
• MIning operations need high energy requirements which will be facilitated by Capstone Green Energy corporation.
• The corporation’s method of providing energy utilizes waste gas as free fuel, hence increasing efficiency.

Capstone Green Energy recently entered into an agreement with a new end-user customer in the cryptocurrency mining sector. Through this two-year term rental contract with the corporation, the mining operations will get 4 megawatts of clean energy. According to Capstone, this operation is located on an oil and gas well and the remote data center handles a large volume of blockchain and cryptocurrency mining.

Why employing Capstone Green Energy:

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As people who are familiar with the world of cryptocurrency know that cryptocurrency mining is a process by which new coins are brought into circulation. And this mining process includes the use of advanced computers to solve complex maths problems. Proper energy acquisition becomes really important in such cases.

Cryptocurrency mining uses high amounts of electricity. Reportedly, Bitcoin’s electricity use has quite increased in comparison to five years ago which is around 0.5% of the global electricity usage. Data centers solely use high amounts of electricity. They have a 2% share in electricity usage in the United States. According to the Department of Energy and a Research & Markets report, the energy-efficient data center market will increase at a Compound Annual Growth Rate(CAGR) by 23% in 2026 which will be valued at $182 billion.  

Capstone is a green energy corporation that offers fuel flexibility and the system utilizes the waste gas as free fuel. This in turn reduces the emissions and provides lower operational costs. And the corporation was reached out to, to employ a way to help the operation with its high energy consumption needs by using existing on-site gas production.

According to the CEO of Capstone Green Energy. Darren Jamison, the corporation continues to grow its EaaS business, including its long-term rental program. This step is an important aspect in achieving their near-term profitability objectives. And that rentals generate high contribution margin rates in comparison to the traditional product sales. 

Capstone further conveys that by the use of its energy as a service platform, it can provide on-site power that is even flexible in regions with inadequate power infrastructure. And that the low emissions, minimal maintenance, and reliability of its microturbine rental systems have the power to make them a good option for remote locations like cryptocurrency mining operations.

This two-year rental agreement has raised the corporation’s energy agreements to 21.1 Megawatt by the end of March this year.

This agreement of Capstone green energy to provide energy to the mining operations seems to be a good step towards reducing the environmental concerns raised by cryptocurrencies mining