On Thursday, the bitcoin mining and flare gas mitigation firm Crusoe Energy Systems Inc. revealed it secured $505 million in new capital from strategic investors. According to the announcement, the Series C equity funding round was led by the climate technology venture capital firm G2 Venture Partners (G2VP).
Crusoe Energy Systems secures $505 million from strategic investors
Following the report that Crusoe Energy Systems was working on a bitcoin gas mining pilot project with gas giant Exxon, Crusoe announced that the company had raised $505 million in new funding. The Series C funding round was led by G2 Venture Partners (G2VP) and the latest funding brings Crusoe’s total capital raised to $747.5 million.
In addition to G2VP, the firms Valor Equity Partners, Lowercarbon Capital, Polychain Capital, Bain Capital Ventures, Founders Fund, MCJ Collective, Winklevoss Capital, Zigg Capital, DRW Venture Capital, Atreides Management, Exor Seeds, CMT Digital, and Upper90 participated as well. New investors in Crusoe include Robert Downey Jr.’s Footprint Coalition Ventures, Inclusive Capital Partners, Engine No. 1, Tao Capital, Felicis Ventures, Castle Island Ventures, and Mitsui & Co.
In addition to G2VP, Valor Equity Partners, Lowercarbon Capital, Polychain Capital, Bain Capital Ventures, Founders Fund, MCJ Collective, Winklevoss Capital, Zigg Capital, DRW Venture Capital, Atreides Management, Exor Seeds, CMT Digital and Upper90 participated as Good. New Crusoe investors include Robert Downey Jr.’s Footprint Coalition Ventures, Inclusive Capital Partners, Engine No. 1, Tao Capital, Felicis Ventures, Castle Island Ventures and Mitsui & Co.
Crusoe’s Data Facilities ‘Prevented an Estimated 2.5 Billion Cubic Feet of Flaring’
The Series C and credit facilities will allow Crusoe to deploy large-scale bitcoin mining and cloud computing operations. The funding will also “propel expansion of [Crusoe’s] Digital Flare Mitigation within the United States and internationally,” the company said. Presently, Crusoe manages 86 Digital Flare Mitigation facilities and the company estimates a lot of carbon is removed from the atmosphere.
“[Crusoe’s] data centers have prevented approximately 2.5 billion cubic feet of flaring and achieved up to 99.89% elimination of methane emissions, whereas flares typically emit a significant amount of unburned methane, a potent gas greenhouse that traps 82.5 times more heat than CO2 over a 20-year period. Ben Kortlang, a partner at G2 Venture Partners, says eliminating carbon emissions is hugely helpful in influencing climate change.
“Eliminating methane emissions from flaring is an immediately actionable and impactful step toward mitigating climate change. Crusoe’s technology converts stranded gas into valuable computing resources,” Kortlang said in a statement. “After a deep dive into flare mitigation and modular data center technologies, we concluded that Crusoe is the clear leader in scale, operational excellence, talent, vision and proven commitment to environmental standards.”
Meanwhile, Crusoe isn’t the only bitcoin mining and flare gas mitigation company. Greenidge Generation, Upstream Data, and EZ Blockchain are other companies offering gas-to-bitcoin solutions. For example, the EZ Blockchain company revealed last May that it was working on a gas-to-bitcoin solution with a Texas oil and gas provider, Silver Energy.
