Bitcoin miner TeraWulf completes $92M stake sale to enhance AI and HPC capabilities

Infrastructure-based bitcoin mining company TeraWulf just sold off its 25% equity interest in the Nautilus facility for $92 million. The firm intends to use the sale returns to elevate its AI and HPC capabilities at its Lake Mariner facility. 

Sean Farrell, TeraWulf’s Senior Vice President of Operations, believes that the recent sale of their equity interest in Nautilus has provided significant capital to accelerate the expansion of the company’s HPC and AI data center at Lake Mariner.

He noted that:

This strategic reinvestment strengthens our ongoing initiatives, including the successful completion of our 2 MW ‘WULF Den’ proof-of-concept for WULF Compute, designed for high-density GPU workloads.

Sean Farrell

TeraWulf sets expansion plans for its Lake Mariner facility in motion

Bitcoin miner TeraWulf announced the sale of its 25% stake in the Nautilus facility, earning roughly $92 million: $85 million in cash and $7 million in mining equipment, 3.4 times more than their initial investment. Paul Prager, CEO of TeraWulf, remarked on the sale, saying the transaction aligned with the company’s goals and investments.

TeraWulf even stated it plans to reinvest the proceeds to expand its AI and HPC capabilities at its Lake Mariner facility. According to Sean Ferell, the company will use the returns to develop a 20 MW HPC/AI facility at Lake Mariner, CB-1, with construction projected to end in the first quarter of 2025.

Ferell added that they are working on another HPC/AI facility, the CB-2, about 50MW, which will likely be operational by Q2 2025.

Moreover, TeraWulf will improve its fleet efficiency at the Lake Mariner facility, expecting to increase its capacity to 13 exahash per second (EH/s) by the first quarter of 2025. By then, the company will also complete the construction of ‘mining building 5, “MB-5”.  WULF even plans to monetize more than 80% of the Nautilus miners and all existing S19 generation miners from its fleet.

TeraWulf has already completed its proof-of-concept initiative

TeraWulf recently completed its 2 MW ‘WULF Den’ proof-of-concept for its compute front in its Lake Mariner facility. The project will help support the functionality of new high-performance GPUs. 

The company’s new planned projects will continue to complement this new infrastructure. By the end of September, TeraWulf’s Bitcoin mining capacity totaled 195 MW at Lake Mariner and 50 MW at Nautilus. The company’s self-mining hash rate is about 10.0 EH/s. 

However, the average hash rate for September stood at 8.2 EH/s, shaped primarily by demand response initiatives and efforts to optimize performance for better profitability.