CleanSpark Still Has 13K Bitcoin On Its Books, But It's Ending Its Monthly Updates As Data Center Buildout Accelerates

• CleanSpark said its Sandersville data center project in Georgia is fully funded through completion after the closing of $2.276 billion in senior secured notes.
• The Sandersville project is expected to generate approximately $6.6 billion in contracted revenue over its initial lease term under an agreement with a Meta subsidiary.
• CEO Matt Schultz said the company continues to pursue commercial opportunities across its portfolio while monetizing contracted power through Bitcoin mining.

CleanSpark (CLSK) on Friday announced that it will discontinue its monthly operational updates and transition to quarterly reporting, reflecting the Bitcoin (BTC) miner’s expanding focus on data center development. 

The company made the announcement alongside its September mining results, and confirmed that its $6.6 billion Meta Platforms (META)-backed Sandersville data center project is fully funded through completion.

“CleanSpark will transition to standard quarterly reporting consistent with peers in the energy and data center sectors, and monthly operational updates will be discontinued,” the company said. The move comes after the company has been dropping continous monthly updates from late 2021.

CLSK stock gained dropped over 2% at market open, on track to slide for a fifth straight session after hitting lows last seen in April on Thursday. On Stocktwits, retail sentiment around the firm improved to ‘neutral’ from ‘bearish’ territory over the past day. 

CleanSpark’s Final Bitcoin Mining Update

CleanSpark reported an average daily production of 17.64 BTC in September, with peak daily output of 18.99 BTC. Its average operating hashrate was 36.0 exahashes per second (EH/s), while its operational hashrate reached 50 EH/s.

The company had 199,745 miners deployed at the end of September, alongside a contracted power portfolio of 1.8 gigawatts (GW). Of that capacity, 808 megawatts (MW) was utilized.

CleanSpark ended September with 13,530 BTC, down from 13,703 BTC at the end of August. The company produced 529 BTC during the month, sold two BTC at spot prices, and sold another 700 BTC through call exercises.

The company reported an average sale price of $72,928 per Bitcoin sold. Bitcoin’s price was trading close to hitting $83,000 at the time of writing, gaining around 1% in the last 24 hours, following a dip below $81,000 in the previous session, which liquidated nearly $1 billion in cryptocurrency bets. 

CleanSpark Confirms Data Center Project Funding

CEO and Chairman Matt Schultz said the company’s Sandersville project in Georgia is fully funded following the September closing of $2.276 billion in senior secured notes carrying a 7.875% annual interest rate and maturing in 2031.

The financing was announced previously, and the Sandersville lease is expected to generate approximately $6.6 billion in contracted revenue over its initial term. “With non-dilutive bond financing now in place, our Sandersville project is fully funded through completion,” Schultz said.

"In the meantime, we are continuing the commercial process across our entire portfolio and delivering continuous monetization of our contracted power through bitcoin mining,” he added. “The demand for power and land, with the certainty to build, remains relentless, and I am excited to be kicking off our new fiscal year from a position of strength."

The project adds to CleanSpark’s push to expand beyond Bitcoin mining into AI data center infrastructure, using its land and power portfolio to serve demand for computing capacity like many of its peers. 

CLSK stock has gained around 5% this year and fallen over 40% in the last 12 months. Koyfin data showed a 12-month average price target of $23.89 on CleanSpark, implying a potential upside of over 124% from Thursday’s close.

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