Cipher Mining Announces June 2023 Operational Update
NEW YORK, July 5, 2023 (GLOBE NEWSWIRE) — Cipher Mining Inc. (NASDAQ:CIFR) (“Cipher” or the “Company”) today released the June 2023 Unaudited Production and Operations Update.
Essentials
| Main stats | June 2023* |
| BTC mined | 360 |
| Power Sales equivalent BTC1 | 41 |
| BTC sold | 350 |
| BTC held | 417 |
| Deployed mining installations | 65,000 |
| Month-end operational hash rate (EH/s) | 6.7 |
* Estimated values
Management Comment
In June, Cipher continued to expand operations at its Odessa branch, ending June with the potential to mine up to 17.1 bitcoin2 per day.
“The month of June was characterized by challenging operating conditions. Texas experienced record high temperatures, weak wind production and record power demand as we entered the critical 4CP summer months,” said Tyler Page, CEO of Cipher. “Against this backdrop, we are pleased to announce production figures that reflect not only our ability to navigate difficult operating conditions and manage our mining fleet during extreme temperatures, but also our optimization of production through power sales. In this month’s report, we introduced a Power Sales Equivalent BTC line item that is not included in our BTC Mined metric and is an estimate of our incremental power sales for the month expressed in bitcoin terms. We hope this provides insight into our monthly income potential beyond just our bitcoin production. With extreme demand for power in June, we also saw our Odessa PPA counterpart use a significant portion of their annual containment budget, demonstrating the value of bitcoin mining as an industry in supporting the power grid at the most vulnerable times and our good positions for the rest of 2023 if market prices for power remain high.”
“As we continue to expand our mining capacity, we strive for operational excellence, even in the hot Texas summer. Our team focuses on efficient optimization of the portfolio, whether that be through the mix of rigs in use, underclocking our machines or returning power to the grid at the most valuable times. We are also pleased to announce that we have taken delivery of all 11,000 Canaan platforms that we recently purchased. And with the final build-out of the infrastructure in the coming months, we are well on track to meet our target of 7.2 EH/s by the end of the third quarter.”
Satellite image of the Odessa Data Center
Last shipment of Canaan Rigs
Bitcoin Production and Operations Updates for June 2023
Cipher received delivery of all 11,000 Canaan rigs recently purchased and began incrementally powering the new rigs throughout the month of June, bringing Cipher’s total number of rigs deployed to approximately 65,000. Cipher produced ~360 BTC in June, representing a ~27% drop in production from the previous month. As part of its regular treasury management process, Cipher sold ~350 BTC in June and executed its first bitcoin futures and options transactions, ending the month with a balance of ~417 BTC.
About Cipher
Cipher is an emerging technology company focused on the development and operation of data centers for bitcoin mining. Cipher is committed to expanding and strengthening the critical infrastructure of the Bitcoin network. Together with its diverse talented team and strategic partnerships, Cipher aims to be an industry leader in bitcoin mining growth and innovation. For more information about Cipher, visit https://www.ciphermining.com/
Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the United States federal securities laws. The Company intends that such forward-looking statements be governed by the Safe Harbor provisions for forward-looking statements in the Private Securities Litigation Reform Act of 1995 and is including this statement to comply with those Safe Harbor provisions. All statements in this press release that are not statements of historical fact, including statements about our beliefs and expectations regarding our future results of operations and financial position, business strategy, timing and likelihood of success, potential expansion of bitcoin mining data centers, and management plans and objectives are forward-looking statements and should be assessed as such. Forward-looking statements contain information about possible or assumed future results of operations, including descriptions of our business plan and strategies. These forward-looking statements are generally identified by the words “may”, “will”, “should”, “expects”, “intends”, “anticipates”, “could”, “seeks”, “intends” ,” “projects,” “contemplates,” “believes,” “estimates,” “strategy,” “future,” “predicts,” “chance,” “predicts,” “potential,” “should,” “likely to result , “”Continue” and similar expressions (including the negative versions of such words or expressions).
These forward-looking statements are based on estimates and assumptions that, while believed to be reasonable by Cipher and our management, are inherently uncertain. Such forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. New risks and uncertainties may arise from time to time and it is not possible to predict all risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements contained in this press release, including but not limited to: volatility in the price of Cipher’s securities due to a variety of factors, including changes in the competitive and regulated industry in which Cipher operates, variations in performance among competitors, changes in laws and regulations affecting Cipher’s business, and the ability to implement business plans, forecasts and other expectations and to identify and realize additional opportunities. The foregoing list of factors is not exhaustive. You should review the foregoing factors and the other risks and uncertainties described in the “Risk Factors” section of our annual report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 14, 2023 and in Cipher’s subsequent filings at the SEC. These filings identify and address other significant risks and uncertainties that could cause actual events and results to differ materially from those in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to place undue reliance on forward-looking statements, and Cipher assumes no obligation and, except as required by law, does not intend to update or revise these forward-looking statements, whether as a result of new information, future events , or else.
Contacts:
Contact investor:
Josh Kane
Head of Investor Relations at Cipher Mining
josh.kane@ciphermining.com
Media contact:
Ryan Dicovitsky / Kendal Till
Public Relations of Dukas Linden
CipherMining@DLPR.com
Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/f59e7611-1e4c-43d1-8b96-11a5aefeb9c2
https://www.globenewswire.com/NewsRoom/AttachmentNg/eefe09d1-48c7-4ddf-82bf-1592c3868643
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1 Represents unaudited power sales estimates for the month of June (based on current meter data and node prices) divided by the bitcoin price on June 30, 2023 of ~$30,449
2 Assuming a network hash rate of 370 EH/s and 946 bitcoins mined per day
