Foreign media reported that ExxonMobil (xom-us) is participating in a pilot project to use oil wells to burn excess natural gas to provide electricity for the production and expansion of cryptocurrency.
According to people familiar with the matter, the oil giant and Crusoe Energy Systems Inc An agreement was reached to extract natural gas from an oil well platform in the Bakken shale basin to provide the power required for bitcoin mining servers.
This is a solution for all parties involved. Oil and gas producers are facing pressure from regulators and investors to reduce their carbon footprint to help combat climate change.
When oil or natural gas companies process oil from shale, natural gas will be produced in the process. If not used, these natural gas will be completely burned, which will increase pollution but have no effect.
On the other hand, cryptocurrency miners seek cheap natural gas to provide energy and power for mining.
For cryptocurrency miners, companies that fail to adjust in time may face a major impact under the decline of bitcoin price and the rise of energy price. Data show that the profit margin of bitcoin has dropped from 90% to about 70%, which continues to pose a threat to the survival of miners.
Some oil companies have found ways to turn waste gas into useful energy. Crusoe energy helps energy companies use such gas to extract digital currencies such as bitcoin (BTC).
The pilot project was started in January 2027, and has consumed about 18 million cubic meters of natural gas per month. At present, ExxonMobil is considering conducting such tests in Alaska, quaiboe Wharf in Nigeria, VacA Muerta shale gas field in Argentina, Guyana and Germany.
Post time: Apr-01-2022