Vogogo Bitcoin Mining Operations Update


  • Operating 23,000 Antminer S9’s generating 295 Petahashes per second
  • Québec Energy Regulator confirms no increase in electricity rates for Vogogo

TORONTO, May 21, 2019 (GLOBE NEWSWIRE) -- Vogogo Inc. (CSE: VGO) (“Vogogo” or the “Company”) is pleased to provide an update on its Bitcoin mining operations.   

Operating Facilities

The Company currently has approximately 23,000 Bitmain Antminer S9’s (“S9’s”) actively mining for the Company’s own account, producing approximately 295 Petahashes per second (“PH/s”) of hashing power.

Over the past 12 months, Vogogo has grown its mining operations from 4,125 S9’s that produced approximately 50 PH/s to approximately 23,000 S9’s and 295 PH/s, representing over 450% of growth.

“Our data centers are now at full capacity in terms of physical space with our 23,000 S9’s. Through our recent energy optimization efforts, we are now drawing less power even though we are running more machines. Currently, we are only drawing 33MW of a total available 36MW and are evaluating cost-effective options for the excess 3MW,” said Paul Leggett, Chief Operating Officer of Vogogo.

Québec Energy Regulator

On April 29, 2019, the Régie de l’énergie in Québec (the “Regulator”) issued its decision for the blockchain file, providing certainty regarding electricity rates for Vogogo in Québec.  The Regulator confirmed Vogogo’s industrial hydro electric rates (LG and M) from Hydro Quebec will not be increased. The Regulator rejected Hydro Quebec’s request to establish a bidding process for hydro power, and to increase hydro consumption rates.  Vogogo’s total all-in blended electricity cost is approximately $0.053 (US$0.039) per kWh.

As announced by the Company on April 30, 2019, Vogogo’s average cost per Bitcoin mined, calculated as site operating costs1 divided by the number of Bitcoin mined, was CAD$4,543 for the year ended December 31, 2018.

“Vogogo is currently well positioned with today’s Bitcoin price of approximately US$8,000 and our current cost per Bitcoin mined of approximately CAD$4,600 (US$3,450). In addition, we are pursuing other opportunities both inside and outside of the crypto space to further enhance shareholder value,” added Mr. Leggett.

1 site operating costs includes electricity cost, contractors’ fees and general facility operating costs, but excludes non-cash depreciation of mining and infrastructure equipment

For information or interview please contact:

Jordan Greenberg
Chief Financial Officer
(647) 715-3707

About Vogogo Inc.

Vogogo currently operates its cryptocurrency mining activities in Québec. This includes mining for cryptocurrencies for its own account and within mining pools. Vogogo continues to explore opportunities in all aspects of the cryptocurrency segment.

Cautionary Note Regarding Forward-Looking Information

Certain statements in this press release, including statements with respect to the Company’s position to capitalize on Bitcoin’s recovery and the pursuit of other of other opportunities both inside and outside of the crypto space in order to maximize shareholder value, contain forward-looking information which can be identified by the use of forward looking terminology such as “believes”, “expects”, “may”, “desires”, “will”, “should”, “projects”, “estimates”, “contemplates”, “anticipates”, “intends”, or any negative such as "does not believe" or other variations thereof or comparable terminology. No assurance can be given that potential future results or circumstances described in the forward-looking statements will be achieved or will occur. By their nature, these forward-looking statements necessarily involve risks and uncertainties, including the risk that costs will be higher than anticipated reducing margins, that expense reductions will not be realized, the risk that the price of power to the Company increases and other risks and uncertainties that could cause actual results to significantly differ from those contemplated by these forward-looking statements. Such statements reflect the view of the Company with respect to future events and are based on information currently available to the Company and on assumptions, which it considers reasonable. Management cautions readers that the assumptions relative to the future events, several of which are beyond management's control, could prove to be incorrect, given that they are subject to certain risk and uncertainties, and that actual results may differ materially from those projected. Other factors which could cause results or events to differ from current expectations include, among other things, the impact of general economic, industry and market conditions. Management disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking information. The Canadian Securities Exchange has not reviewed, approved or disapproved the content of this news release.