Argentina-based Bitcoin miner Unblock Global has recently announced that it has secured $15 million in funding to harness flared gas from Vaca Muerta, the world’s second-largest shale gas reserve, for its operations. The company’s co-founder, Tomas Ocampo, shared the news and pictures of the facilities on X, stating:
“We are the second-flared-gas Bitcoin in the world.”
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Unblock Global New Project
Participating in this venture are major energy players, including Crusoe Energy, Pampa Energia, and Petrocuyo. These companies contributed to the capital raise managed by Unblock Computos, a branch of Unblock Global.
According to the announcement, the funding injection aims to enable the production of $200 million worth of oil from Vaca Muerta, significantly reducing emissions in the process.
Harnessing Flared Gas: A Green Solution
Flared gas, often an externality of oil production, poses environmental challenges. While it helps mitigate accumulated gasses and avoids direct methane release, it also introduces carbon dioxide and other pollutants into the atmosphere. Bitcoin mining, known for its energy-intensive nature, uniquely addresses this challenge by tapping into stranded energy sources, utilizing flared gas that would otherwise go to waste.
Related reading: Bitcoin is ESG Compliant: A KPMG Report
It is important to note that in July, Unblock Global partnered with Crusoe Energy Systems to launch the Digital Flare Mitigation (DFM) technology at Vaca Muerta. It aims to use the natural gas associated with oil production to power advanced computing operations for bitcoin mining.
Crusoe employs innovative technology to transform natural gas, often flared in oil production due to logistical challenges, into electricity. The process mitigates the wasteful burning of gas in remote regions where transporting it is impractical. The generated electricity is then utilized to support modular data centers, facilitating advanced computing capabilities.
Initially designed for bitcoin mining, Crusoe’s technology has expanded its applications to include artificial intelligence, marking a significant evolution in its versatile energy solutions.
Embracing Renewable Energies
Recent trends in the Bitcoin mining sector highlight a shift towards sustainable practices. Miners are increasingly adopting renewable energy sources to power their operations. This not only addresses environmental concerns but also enhances the industry’s overall resilience.
This move by Unblock Global aligns with a broader industry trend, showcasing how collaboration between American and Argentine companies can pioneer innovative solutions that not only contribute to climate goals but also prove economically viable. U.S. Ambassador Marc Stanley lauds this collaboration, stating:
“I love seeing American and Argentine companies work together to solve problems and help the environment. The geniuses at Crusoe and Unblock Global discovered a way to burn methane and generate electricity. This not only helps Argentina meet its climate goals but also saves energy and allows them to make money. Bright!”
