Bitcoin
Bitcoin (BTC) Miner Marathon Digital (MARA) Signs Agreement with Kenya to Invest in Green Energy Projects
Bitcoin (BTC) mining company Marathon Digital (MARA) closed a deal Friday with Kenya’s Ministry of Energy and Petroleum to develop the African country’s energy infrastructure with more than $80 million in investments.
The objective of the partnership is to “monetize underutilized energy across Kenya and develop technology projects together,” said Marathon CEO Fred Thiel. he said.
In a post on social media, the company informed that the investment will be in green data centers. Marathon also noted in a Press release that capital will include foreign investments without specifying sources of funds. “With foreign investments expected to exceed US$80 million, this venture is poised to provide economic benefits to the Kenyan economy and generate revenue for the local energy sector ecosystem,” according to the statement.
The partnership comes as Marathon held talks earlier this month with the country to help manage its renewable energy operation and advise on its digital asset regulatory regime.
Renewable energy is Kenya’s main energy source, accounting for 80% of all electricity production in Kenya. 2022, with plans to increase its shareholding to 100% by the end of the decade. However, renewable energy sources like solar and wind are intermittent, meaning they do not produce energy when the majority of consumption occurs. Building infrastructure for renewable energy is capital intensive and requires an energy management system to properly store and distribute energy.
Under the terms of the agreement, Marathon and Kenyan policymakers will cooperate to “better understand how to optimize renewable energy projects that produce surplus energy due to intermittency and seasonal variations,” the press release stated.
Marathon shares traded 6% higher at around $21 on Friday from yesterday’s close, outperforming BTC’s 1% advance over the past 24 hours.