The Argo Blockchain PLC (LON: ARB) share price fell by 4.71% after its operational update for July 2023. The company mined 129 Bitcoin or Bitcoin Equivalents (together, BTC), or about 4.2 BTC per day. This was an 11% drop from the 4.6 BTC per day mined in June 2023.
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The Bitcoin mining company attributed the decline to increased downtime at its flagship Helios facility due to weather-related curtailment and onsite construction. Furthermore, the Helios facility underwent economic curtailment that reduced the amount of Bitcoin mined but generated revenue for the firm.
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Argo’s mining revenues in July were $3.87 million, slightly improving from last month’s $3.84 million. The company was holding 46 BTC at the end of July, having sold most of the Bitcoin mined to generate cash flows that could fund its operations and other activities.
Investors muted reaction to today’s operational update was expected as Argo Blockchain’s revenues declined after it mined less Bitcoin than in June. The company should resume growing the amount of Bitcoin it mines monthly.
It is impressive that Argo fully embraced the policy of selling its Bitcoin once mined under the new interim CEO. The company had adopted a disastrous holding strategy in the past that saw it miss out on the peak Bitcoin prices as it waited for higher prices.
Argo Blockchain also installed and turned on 1,242 BlockMiner machines, with about 130 PH/s hashrate capacity at its Quebec facilities. The new machines raise Argo’s total hashrate capacity to approximately 2.6 EH/s.
The company expects to receive and deploy the remaining 1,628 BlockMiners over the new few months.
Seif El-Bakly, Argo's interim CEO, said: “I am thrilled that we are resuming growth in our total hashrate capacity with the deployment of the BlockMiner machines. This is a testament to the efforts of our technical and operations teams, and we look forward to deploying the remaining machines. I am also pleased with our economic curtailment programs that contribute to the stability of the Texas grid during periods of peak demand while simultaneously reducing our total power costs.”
Argo Blockchain share price.
The Argo Blockchain share price fell 4.71% to trade at 9.624p, from Thursday’s closing price of 10.100p.
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