REG - Argo Blockchain PLC - August Operational Update

Argo BlockchainAnnouncement

08/09/2023 07:00

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RNS Number : 7891L  Argo Blockchain PLC  08 September 2023

Press Release

8 September 2023

Argo Blockchain plc

("Argo" or "the Company")

 

August Operational Update

Argo Blockchain plc, a global leader in cryptocurrency mining (LSE: ARB;
NASDAQ: ARBK), is pleased to provide the following operational update for
August 2023.

During the month of August, the Company mined 105 Bitcoin or Bitcoin
Equivalents (together, "BTC"), or 3.4 BTC per day. The reduction in BTC mined
from July 2023 (4.6 BTC per day) is primarily due to economic curtailment at
Helios, which generated significant power credits that the Company expects
will more than offset the foregone revenue from the curtailment. Preliminary
estimates for power credits accrued in August 2023 indicate that the Company
realized negative power costs for its Helios operations.

Mining revenue in August amounted to $2.93 million, a decrease of 24% compared
to the prior month (July 2023: $3.87 million). However, we expect a
significantly higher mining margin percentage in the month of August due to
the estimated power credits.

As of 31 August 2023, the Company held 49 BTC.

During the month of August, the Company installed and energized 900 BlockMiner
machines, representing approximately 95 PH/s, at its Quebec facilities. This
brings the Company's total hashrate capacity to approximately 2.7 EH/s. The
Company expects to receive and deploy the remaining 728 BlockMiners in the
coming months.

Participation in Upcoming Investor Conference

Members of the Company's management team will participate in the upcoming H.C.
Wainwright Global Investment Conference in New York City on Monday, 11
September 2023.

Grant of Equity Awards

On 6 September 2023, the Company granted 2,071,076 RSUs in aggregate to new
employees hired since 1 April 2023. The RSUs vest over a three-year period,
with first vesting occurring six months from the effective date of the grants
(at which point 6/36(th)s vest) and, thereafter, the RSUs vest at a rate of
3/36(th) per quarter for the remainder of the vesting period subject to the
continued employment of the grantee. The RSUs were granted pursuant to the
Company's 2022 Equity Incentive Plan approved by shareholders at the 2022
Annual General Meeting.

The information communicated in this announcement is inside information for
the purposes of Article 7 of Regulation 596/2014.

Management Commentary

Argo's interim Chief Executive Officer Seif El-Bakly said, "I am excited about
the continued deployment of our BlockMiner machines at our Quebec facilities;
their installation represents another step in our strategy to strengthen our
operations and deliver long term value to our shareholders. Additionally, I
want to emphasize the importance of our ability to serve as a flexible load in
Texas during record-setting levels of electricity demand in August. The
curtailment of our operations at Helios helped to reduce stress on the Texas
power grid and provided significant economic benefits to Argo. This additional
source of value from economic curtailment is especially important to our
shareholders during periods of low Bitcoin prices."

Inside Information and Forward-Looking Statements

This announcement contains inside information and includes forward-looking
statements which reflect the Company's current views, interpretations, beliefs
or expectations with respect to the Company's financial performance, business
strategy and plans and objectives of management for future operations. These
statements include forward-looking statements both with respect to the Company
and the sector and industry in which the Company operates. Statements which
include the words "remains confident", "expects", "intends", "plans",
"believes", "projects", "anticipates", "will", "targets", "aims", "may",
"would", "could", "continue", "estimate", "future", "opportunity", "potential"
or, in each case, their negatives, and similar statements of a future or
forward-looking nature identify forward-looking statements. All
forward-looking statements address matters that involve risks and
uncertainties because they relate to events that may or may not occur in the
future, including the risk that the Company may receive the benefits
contemplated by its transactions with Galaxy, the Company may be unable to
secure sufficient additional financing to meet its operating needs, and the
Company may not generate sufficient working capital to fund its operations for
the next twelve months as contemplated. Forward-looking statements are not
guarantees of future performance. Accordingly, there are or will be important
factors that could cause the Company's actual results, prospects and
performance to differ materially from those indicated in these statements. In
addition, even if the Company's actual results, prospects and performance are
consistent with the forward-looking statements contained in this document,
those results may not be indicative of results in subsequent periods. These
forward-looking statements speak only as of the date of this announcement.
Subject to any obligations under the Prospectus Regulation Rules, the Market
Abuse Regulation, the Listing Rules and the Disclosure and Transparency Rules
and except as required by the FCA, the London Stock Exchange, the City Code or
applicable law and regulations, the Company undertakes no obligation publicly
to update or review any forward-looking statement, whether as a result of new
information, future developments or otherwise. For a more complete discussion
of factors that could cause our actual results to differ from those described
in this announcement, please refer to the filings that Company makes from time
to time with the United States Securities and Exchange Commission and the
United Kingdom Financial Conduct Authority, including the section entitled
"Risk Factors" in the Company's Annual Report on Form 20-F.

For further information please contact:

 Argo Blockchain
 Investor Relations                  ir@argoblockchain.com
 Tennyson Securities
 Corporate Broker                    +44 207 186 9030

 Peter Krens
 Fortified Securities
 Joint Broker                        +44 7493 989014

 Guy Wheatley, CFA                   guy.wheatley@fortifiedsecurities.com
 Tancredi Intelligent Communication

 UK & Europe Media Relations
 Salamander Davoudi                   argoblock@tancredigroup.com

 Emma Valgimigli

 Fabio Galloni-Roversi Monaco

 Nasser Al-Sayed

 

About Argo:

Argo Blockchain plc is a dual-listed (LSE: ARB; NASDAQ: ARBK) blockchain
technology company focused on large-scale cryptocurrency mining. With mining
facilities in Quebec, mining operations in Texas, and offices in the US,
Canada, and the UK, Argo's global, sustainable operations are predominantly
powered by renewable energy. In 2021, Argo became the first climate positive
cryptocurrency mining company, and a signatory to the Crypto Climate Accord.
For more information, visit (http://www.argoblockchain.com/)
www.argoblockchain.com (http://www.argoblockchain.com/) .

 

 

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