- Nodal Power has secured a $13 million funding round to convert methane gas from landfills into usable electricity.
- This innovative approach involves harnessing the generated electricity and integrating it into local power grids.
Nodal Power has recently secured a substantial funding round of $13 million to advance its mission of converting methane gas from landfills into usable electricity. This forward-thinking approach involves harnessing the generated electricity and integrating it into local power grids, contributing to cleaner and more sustainable energy sources.
Interestingly, not all of the electricity they produce is intended for sale. A portion of it serves a unique purpose: supporting their clean Bitcoin mining operations. This comes in handy as a backup strategy during times when the economic conditions of the power grid are less favorable.
Matthew Jones, who co-founded Nodal Power and serves as the Chief Operating Officer, shed light on their Bitcoin mining activities. These activities are currently confined to their data centers, which is where they carry out their innovative operations.
Methane gas, a potent greenhouse gas stemming from the breakdown of organic materials in landfills, plays a significant role in exacerbating global warming. Studies indicate that its heat-trapping capability is 25 times more potent than carbon dioxide.
Nodal Power’s groundbreaking approach centers around capturing and reusing leaked methane gas. By combusting it in a generator, they can produce usable electricity. This approach not only prevents the wasteful release of methane into the environment but also transforms it into a valuable and profitable resource.
At present, Nodal Power runs two data centers dedicated to their mining efforts in the United States. They are planning to add a third facility in early 2024. The largest of these centers primarily contributes electricity to the local power grid, while the second one supports 500 miners and adds a significant capacity to the mining operations. The new third site, backed by the recent funding, will mirror the characteristics of the second site in terms of capacity, mining capabilities, and location, according to information from Decrypt.
Matthew Jones stressed that while their largest facility isn’t primarily focused on Bitcoin deployment, a majority of the generated electricity is channeled into the power grid, much like a traditional power plant. However, due to practical considerations, approximately 75% of landfills choose to use the produced methane gas on-site. This insight came from Daniel Batten, one of the founders of CH4 Capital, an investment fund of $400 million designed to support companies utilizing landfill gas for Bitcoin mining.
A noteworthy point from a recent KPMG report highlighted that the volume of methane gas being released into the atmosphere in the United States and Canada could potentially provide sufficient energy to sustain the entire Bitcoin network. This underscores the significance of innovative approaches like those pursued by Nodal Power.