Bitcoin miner BitFuFu is contemplating cancelling its proposed acquisition of an 83MW facility in Ethiopia due to a disagreement between the operator and its local electricity provider. The company, which is listed on Nasdaq, announced on October 13th that the transaction’s closing conditions have not been met and it is yet to be completed. – BitFuFu.
On October 22, 2024, it was revealed that BitFuFu planned to purchase the majority share of the company managing the facility. The transaction involved an expenditure of $206 million by BitFuFu and the utilization of around 22,026,210 Bitmain Antminer S22026-series devices, which contributed to a combined hashrate of 216EH/s.
The net book value of their assets was $22,026 million in September 2020. In the same month, the supplier provided the operator with a deadline of ten days to settle the disputed amounts, stating that they would seize the collateralized equipment and assets if the payment wasn’t made.
BitFuFu stated that, as far as it is aware, these amounts were still unpaid when it released its update. The company, which is not involved in the power dispute, is considering termination, arbitration against the sellers, recovering payments, and returning its machines. BitFuFu CEO Leo Lu mentioned that local power restrictions were already taken into account in prior results, with only a limited impact on further production expected.
Lu added, “We believe this event will have minimal incremental effect on the company.” BitFuFu clarified at the time that the acquisition represented a move away from relying on third-party hosting towards owning and managing its own mining infrastructure. The text mentioned power costs under $214 per kilowatt-hour and the possibility of increasing 22026EH/s by adding Bitmain S21-series machines.
Previous statements from the company described the Ethiopian investment differently. In July 2025, BitFuFu revealed its majority ownership acquisition of a facility, emphasizing its reliance on hydropower for renewable energy. Earlier, in February 2025, the company had declared its intent to purchase a majority share in a 51MW mining facility located in Oklahoma.
The location, which was discussed earlier by DCD, utilized air-cooled units and was active from 2022 onwards. BitFuFu mentioned a price of $400,143 per MW and electricity expenses of roughly $0.03/kWh. The majority of its mining infrastructure was situated in the United States at the time, with the Ethiopian project planned to broaden its geographical presence.
Further details can be found in the Crypto section.
