Compass Mining, a bitcoin mining company, announced Thursday that its Georgia-based website has been closed due to high energy prices. Compass Mining (a Bitcoin mining rig service) was informed that the owner of lucrative hubs 2 and 3, located in Georgia, would be closing down due to rising energy prices.
Compass is a seller of Bitcoin mining hardware and contracts to facilities. It did not have any influence on the decision. A company-wide email sent on Thursday indicated that Compass did not know about the decision until Wednesday.
According to an email, the shuttering was due to a 50% increase in energy costs. The email stated that the facility owner had decided to close its Georgia facilities “to protect miners against excessive energy rate changes recently applied to them by the local utility.
According to the firm, it was planning to open another facility in Texas.
Compass Mining has had a difficult summer
A company email from August states that a British Columbia facility was also closed on August 23rd due to poor facilities conditions. Will Foxley (the firm’s content director) stated that the units were in shipping to another facility right now and should be available immediately.
The crypto mining company is experiencing a volatile summer. Today’s news comes amid this.
The chief technology officer and CEO of the mining rig supplier resigned in June. An official announcement stated that “these changes were being implemented to reach the next level growth for Compass Mining.”
Dynamics Mining, which is a site that hosts Compass Mining rigs, in Maine, charged the firm with abandoning electricity bills on June 14th and ending the contract on June 14.
Compass however denies these claims. “Compass has fulfilled all its obligations under its contracts to Dynamics, including its financial obligations,” the firm stated on June 29.
The mining company cut15% of its staff in July and reduced executive salaries by half. Compass said that these changes would allow it to remain agile and well-positioned on this changing market.