Chicago based cryptocurrency mining company EZ Blockchain is looking to utilize large volumes of wasted natural gas in the Permian Basin.
What does the company plan?
West Texas’ Permian Basis could be the newest energy resource for running portable servers for EZ Blockchain. The company plans to use the wasted natural gas to help it run its facility that mines new cryptocurrencies and brings them into circulation.
It deployed a 40-foot contained that contains more than 700 computer servers and a natural gas generator off the East Coast. This deployment is designed to utilize gas from a stranded source that could generate as much as 2.5 megawatts of electricity.
Permian Basin could be
Christopher Thomas, the company’s vice president of business development said that it is deploying similar server and generator combos in other stranded gas locations in the Midwest and Bakken Shale. He said that large volumes of natural gas are being wasted in Permian Basin oil wells. They could be used to create Bitcoin and other digital currencies as well. He added,
“We try to find the cheapest electricity possible, so we target stranded gas and there is a lot of it in the Permian.”
A recent report from the Institute for Energy Economics and Financial Analysis suggests that oil companies operating in the Permian Basis located in West Texas, have already wasted over 238.1 billion cubic feet of natural gas in 2018. This gas reserve was worth $750 billion. EZ Blockchain also plans to partner with oil well operators in West Texas. It also aims to develop trailers that could provide adequate air conditioning to keep the servers cool, since the area is affected by desert heart. Thomas said that they have to keep everything in perfect condition when they arrive in Texas.
The company hasn’t specified how much costs they would save with the deployment or how their profitability would be affected.