HIVE Digital Technologies (TSX-V:HIVE, NASDAQ:HIVE) announced that it has completed the acquisition of Bitfarms' Yguazú 200 MW hydro-powered facility in Paraguay, a move that will increase its mining capacity from 6 EH/s to a projected 25 EH/s by September 2025.
The expansion includes HIVE’s 100 MW Valenzuela project, set to become operational by June 2025.
It will bring the company’s total infrastructure to 430 MW across Paraguay, Canada, and Sweden by the third quarter of 2025.
The Yguazú site will be developed in two phases. Phase 1 is expected to be operational by Q2 2025, adding approximately 6 EH/s.
Phase 2, set for completion by the end of August 2025, will contribute an additional 6.5 EH/s using hydro-cooled ASICs to enhance efficiency and performance.
HIVE has secured ASICs to support 15 EH/s of its planned 25 EH/s capacity, including its existing 6.5 EH/s and an 8.6 EH/s order of Bitmain S21+ Hydro ASICs announced in November 2024. Additional ASIC purchases are expected to be announced.
Once the 25 EH/s target is achieved, HIVE aims to improve efficiency to 16.5 J/TH, lowering operational costs.
“This acquisition allows us to quadruple our capacity, from 6 EH/s to 25 EH/s in 2025, while maintaining one of the most energy-efficient operations in the industry,” HIVE Digital CEO Aydin Kilic said in a statement.
“With a target efficiency of 16.5 J/TH fleet-wide, we are ensuring cost-effective, environmentally responsible operations.”
Paraguay an 'excellent partner'
Frank Holmes, HIVE executive chairman, said Paraguay is an "excellent partner" for the company with its stability and economic policies.
"This acquisition demonstrates our strategic focus on sustainable, high-growth expansion,” Holmes said.
“With this expansion, HIVE is positioning itself as a major contributor to Paraguay's economic development while establishing regional leadership in Latin America's digital infrastructure industry."
The Yguazú acquisition, valued at $56 million, includes a 240 MVA substation with 200 MW of capacity, along with all associated land and facilities.
HIVE paid $25 million at closing, with the remaining $31 million to be paid in equal installments over six months.
The company estimates the total net costs to complete the site to 200 MW will be approximately $400,000 per MW.