Riot Platforms, Inc. (NASDAQ RIOT) has announced that it will purchase over 66k BTC miners from Bitcoin MicroBT, a manufacturer of mining equipment. The purchase order is for 66,560 of MicroBT’s M66S model, a recently announced miner boasting an efficiency rating of 18.5 Joules per terahash. The total cost of the miners will be $290.5 Million, and the average price per TH is approximately $16.
Riot has also updated its long-term purchase agreement with MicroBT. This gives the miner an option to buy up to 265,000 more miners, subject to the same conditions as the newly-announced order. Jason Les, Riot’s CEO, said in a press release, “The price of these future purchase options will not exceed our current order as announced today, giving Riot the ability to more effectively plan future capital requirements and providing protection from potentially higher market prices for miners in the future.”
The delivery of the recently announced batch of MicroBT miners is expected to begin in the second quarter of 2019. Riot expects the two orders to be fully delivered in the second half of 2025, with the company’s total self-mining hash rate surpassing 38EH/s. If Riot completes future purchases, its capacity to self-mine will increase by over 100 EH/s.
News of Riot’s strategic purchases and expansion plans appears to have buoyed investors. On Monday afternoon, the mining company’s stock price was up 8% on the day and nearly 24% in the past week. RIOT is up 345% in the last year at $15.07. The all-time highest above $79.50 were reached in February 2021. Although the current price is lower than the ATH, the bullish outlook remains.
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