Sphere 3D Corp. Signs Letter of Intent to Acquire a 12.5 MW Site in Iowa Featuring Average Sub -4c Energy, Set to be Operational by December 2024

Core Insights - Sphere 3D Corp. has signed a letter of intent to acquire a 12.5 MW Bitcoin mining site in Iowa, which is expected to operate with an average power cost of sub-4 cents per kilowatt-hour, ready by December 2024 [1][2] - The company has partnered with Simple Mining LLC for the engineering, development, and operation of the site, entering into a three-year Managed Service Agreement [1][2] Company Strategy - The acquisition aligns with Sphere 3D's goal of reducing third-party hosting exposure through vertical integration, aiming for sustainable growth and long-term success [2] - The company intends to streamline operations, improve efficiencies, and reduce marginal costs, ultimately increasing profitability and shareholder value [2][3] - Sphere 3D is committed to maintaining a debt-free status while executing its long-term strategy of owning data centers and refreshing its mining fleet [2] Partner Profile - Simple Mining, established in 2020, has grown to manage 40 MW of Bitcoin mining capacity, with plans to expand to an additional 25 MW by 2024 and over 100 MW by 2025 [2] - The company emphasizes customer service and operational excellence, achieving a 98% average uptime across all sites since inception [2]