Could Canada become an international hub for Bitcoin mining? It will if Black Rock Petroleum Company (OTC:BKRP) gets its way.
The Nevada-based company is proposing to set-up as many as one million Bitcoin mining computers at three natural gas-producing sites in southern Alberta, moving the machines to Canada from China where the government continues to crackdown on cryptocurrencies.
No timeline for the deal was announced, although the contract term for using the natural gas sites in Alberta is listed as 24 months, according to a news release issued by Black Rock Petroleum Company to announce its Bitcoin mining proposal.
Earlier this year, Chinese authorities cracked down on Bitcoin mining due to apparent environmental concerns and other issues, ordering thousands of miners to shutdown and forcing many to flee the Asian country.
Up to one million cryptocurrency mining machines entering Alberta would represent a significant chunk of China's prior total mining capacity, with major impacts in energy consumption in the western Canadian province.
However, establishing a cryptocurrency centre in Alberta would represent a multi-billion-dollar investment and use available fossil fuels in the province as a power source. One million Bitcoin machines in Alberta would represent one-third of global mining capacity.
Bitcoin processors can connect to the electricity grid or directly to an energy producer, such as a natural gas plant, to power their computer network.
Black Rock Petroleum Company said in its news release that the first 200,000 mining computers would be hosted at the Quirk Creek gas plant located near the southwestern hamlet of Millarville, Alberta.
It’s not clear if the Government of Alberta would approve and allow the proposed Bitcoin mining operation within the oil rich province. A single Bitcoin is currently worth more than $46,000 U.S. and the total market supply is worth more than $866 billion U.S.
