Greenidge completes screen installation

DRESDEN--Greenidge Generation Holdings Inc. (NASDAQ: GREE), a vertically integrated cryptocurrency data center and power generation company, announced the completion of cylindrical wedge wire screens at the company's water intake system for its Seneca Lake facility. The power plant utilizes lake water (permitted to withdraw up to 139,248,000 gallons per day) to cool power generation equipment that is used to run cryptocurrency computers and supply power to the grid. The digital mining operation began in 2020 and represented a new behind-the-meter innovation whereby the mining company also controlled its own power production instead of seeking communities with low power rates.
Greenidge began work on the intake project in 2017, shortly after receiving a water discharge permit from the New York State Department of Environmental Conservation (DEC). Greenidge was required to meet deadlines established by DEC over the course of the project, including a study, sampling, development of a verification monitoring plan and more. Additionally, the U.S. Army Corps of Engineers reviewed relevant components of the project and issued approval for the work to happen. Final state and federal approvals were granted on Sept. 26, 2022 and Oct. 7, 2022, respectively.
Greenidge has reported they have invested more than $6 million to complete the study, design and installation processes required to complete the wedge wire screen project.
The construction work was completed by local union labor, including members of the International Brotherhood of Electrical Workers Local 840, Dockbuilders and Timbermen Local 1556, Carpenters Western New York Local Union 276, International Union of Operating Engineers Local 158 & 150 and Millwrights Local 1163.
"On behalf of our team, and the dozens of union members who got the job done, we're proud of the time, energy, effort and financial investment it took to get the wedge wire screens installed to further protect the lake we all love," said Greenidge Generation President Dale Irwin.
Intake Screens, Inc. (ISI), a Sacramento, California-based company, designed and manufactured the wedge wire screen system. John Burnett, Director at ISI, stated, "The Greenidge wedge wire screen system is the largest fish protection screen system with this small of a screen opening found anywhere in the world and we think this system represents the future of fish protection at water intakes."
Greenidge Generation is currently in the process of appealing the DEC's denial of their air permit and received an extension to complete the work on the intake system. Those applicable permits, the State Pollutant Discharge Elimination System and Water Withdrawal Permit were set to expire in September of 2022. The plant has remained operational while the appeal and extension have been in place.
The company's public stock, trading under the symbol GREE, is currently at $0.98. Last year at the same time the stock was around $11 per share. The cryptocurrency Bitcoin was around $37,000 last year and is currently around $23,000 although it has been as low as $16,000 in recent months. At the end of 2022, the company entered into an agreement with NYDIG to restructure debt and move ownership of the miners away from Greenidge and to NYDIG. However, in a memo to shareholders, Greenidge reported, "It is very difficult to estimate liquidity requirements and future cash burn rates; however, the company's current cash burn rates are not sustainable...In the absence of additional liquidity, the company is at risk of having insufficient cash to support ongoing business operations within the next two months...the company may nonetheless be required to pursue an in-court restructuring of its liabilities to address the claims of other lenders."