Terawulf Expands Bitcoin Hashrate to 7.6 EH/s, Repays $22M Debt
New York-headquartered bitcoin mining firm TeraWulf said it has reduced an additional $22 million of its term loan while increasing proprietary hashrate to 7.6 EH/s.
The company announced on Thursday that it expects to reach 8 EH/s by the end of Q1 and 10 EH/s by mid-2024 with the completion of 35 megawatts of Building 4 at its Lake Mariner facility.
TeraWulf mined 313 BTC in January with a realized hashrate of 5.2 EH/s, making it the 10th largest public bitcoin mining firm by production last month.
According to Terawulf’s Q3 earnings report, it had a current and long-term loan liability of $125 million with about $7 million of cash and digital assets as of Sept. 30. At the time, it was on the higher end of the net-debt-to-hash ratio among its public peers with $32 per TH/s of realized hashrate.
As previously reported, TeraWulf has converted the hashrate capacity previously reserved for hosting into fully proprietary mining as the bitcoin market turned “opportunistic.”
Meanwhile, Terawulf has adopted an approach to repay term loans with excess cash flow generated from selling its mined bitcoin. It said on Thursday that it had repaid an additional $22 million and thus had repaid a total of $40 million to date.
TeraWulf’s CEO Paul Prager said the firm closed out 2023 with “a cash reserve exceeding $50 million” and expects to make another notable debt repayment in April with cash generated from bitcoin mining production in Q1.
