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Canada's oil companies engaged in mining cryptocurrency

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It is no secret that mining activities spread throughout the world, especially in countries with low temperatures and low electricity prices. Thus, Canadian oil companies began to extract Bitcoin (BTC) due to an excess of available natural gas obtained from oil production.

Near oil rigs and other mechanisms associated with the extractive industry, huge transport containers are located. Thanks to the natural gas produced in the process of mining, the electric power generator drives the mining bitcoin farm.

In this way, the company compensates for operating expenses and uses a by-product of oil production, which was not normally used.

It is worth noting that in recent years, natural gas prices have plummeted. Now the proposal is so great that it is difficult to implement with great profit. This is why Bitcoin mining is a good way to monetize this gas.

According to consultant Stephen Barbour, who is working to reduce the operating costs of oil companies, he implemented this original idea after reading the article about the profitability of mining Bitcoin.

At the same time, Ryan Wartman, who runs the Black Pearl Resources production site, commented to the Wall Street Journal that they can reduce gas production and reach the level set by the government:

"It was the best option … It is used to continue to produce oil profitably."

He also explained that the company can support oil production 24 hours a day, directing secondary natural gas to work mining rigs that produce virtual currencies.

In December 2018, Bitcoin reached its lowest point in a year, falling to $ 3,200. At that moment, mining became very unprofitable, as miners spent on electricity more than they received as rewards for the unit. As the network complexity changed, some operators began to enter the market again.

In any case, those who worked at the lowest energy price could keep the performance within the limits of profitability. The use of excess gas has helped to significantly reduce the price of energy, no doubt, in the future, other companies will begin to introduce other alternative solutions.

Publication date 03/31/2019
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