Invisible to the markets, Alliance Resource Partners (NASDAQ: ARLP) has quietly opened a new front. Indeed, this American coal giant is using its surplus electricity to mine bitcoin. Result: 45 million dollars worth of BTC is now listed as an asset of the company. Thus, away from the public eye, coal powers more than just boilers. Let’s explore this bold transformation.
Bitcoin: from coal caves to mining farms
First, Alliance Resource Partners relies on its River View site in Kentucky. There, the electricity generated by its coal facilities is used as fuel for bitcoin mining. Specifically, the energy surplus is no longer wasted. Paradoxically, it’s a mine powering… another kind of mine.
Furthermore, the company has converted its electric galleries into data centers. It hosts over 1,000 mining platforms for third parties. At the same time, it operates about 3,500 rigs of its own. This dual role allows it to maximize returns and diversify its business.
Next, the operation meets a growing demand for affordable energy. Bitcoin miners are always seeking the lowest costs.
Alliance Resource Partners, however, transforms a constraint – the surplus – into an opportunity. Besides, all its BTC holdings come from this activity. No direct purchases are financed by its coal profits.
