The Bitcoin mining industry could be about to change for good as reports have emerged that a giant oil & gas company, ExxonMobil is currently looking at the probability of using natural gas to mine the digital asset.
According to available information, the project would allow the company to use natural gas that would have been burned off at oil wells in North Dakota as an energy source for crypto mining operations. The report continued that the company is also currently assessing the possibility of doing the same at other sites around the world.
It was also revealed that ExxonMobil has an agreement with Crusoe Energy Systems that allows the latter to power mobile generators used for bitcoin mining servers on-site, using gas obtained from the Bakken Shale Basin Oil wells.
The crypto-mining project which uses gas that was originally supposed to be flared due to insufficient pipelines; started in January 2021 and has expanded since July of the same year to now using about 18-million cubic feet of gas monthly.
ExxonMobil, which is the largest oil producer in the United States, is planning to expand the project into other countries like Nigeria’s Qua Iboe Terminal, Vaca Muerta Shale field in Argentina, and also in Alaska, Guyana, and Germany.
Using Natural gas to Mine Bitcoin is a win-win Situation
While there is no doubt that pressures from climate activists, regulators, and investors are pushing oil and gas manufacturers into looking for creative ways to help reduce their carbon footprint. And crypto skeptics have also always pointed out the concerns about the environmental impact of Bitcoin mining.
Thus, using natural gases which would have been flared could actually help to reduce the impact of this process on the global environment, thereby leading to a win-win situation for both industries.
A spokesperson for ExxonMobil, Sarah Nordin, in a statement revealed that the multinational company was always working towards ways of reducing its gas flaring volumes. She, however, refused to confirm if the firm was actually looking to use its natural gases to mine Bitcoin.
Interestingly, a number of reports have highlighted the role Bitcoin mining could help to encourage renewable energy sources and how this could be very profitable for the industry.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.