WhiteHawk Capital Partners, a private credit investment manager focused on asset-based financing solutions, entered into an agreement with Stronghold Digital Mining, an environmentally beneficial digital asset miner, to provide a $40 million capital lease. The proceeds from the lease will be used to fund purchases of additional digital mining units from leading suppliers and scale plant and datacenter infrastructure.
Stronghold is a vertically integrated digital asset miner based in Pennsylvania. The funding allows Stronghold to continue its coal refuse cleanup operations in the state. Coal refuse is classified under Pennsylvania law as a Tier II alternative energy source (equivalent to a large-scale hydropower plant). Stronghold is cleaning up coal refuse, which is damaging to local ecosystems, and using the energy generated to mine digital assets. Operating in partnership with the Pennsylvania Department of Environmental Protection (DEP) and local environmental authorities, Stronghold has already reclaimed 1,000 acres of once-unusable land.
“This financing supports the rapid expansion of our vertically integrated model, allowing us to mine Bitcoin at some of the lowest costs in the industry while making a meaningful contribution to the environment. We welcome the support from our financial partners, such as WhiteHawk, without whom this exceptional progress would not be possible,” said Greg Beard, CEO and Co-Chairman of Stronghold.
“WhiteHawk provides financing solutions to companies of various sizes, situations, and industries. WhiteHawk has closed deals across traditional and non traditional asset classes and this loan is a testament to our commitment to provide differentiated solutions to companies focused on growth and expansion,” said Bob Louzan, WhiteHawk Managing Partner.