Hello, and welcome to BitDeer Technologies' first quarter 2026 earnings conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask the question during the session, you will need to press star 1-1 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1-1 again. I would now like to hand the conference over to Tesh Daya. You may begin.

Thank you, Operator, and good morning, everyone. Welcome to Biddeer Technology Group's first quarter 2026 earnings conference call. Joining me today are Jihan Wu, Founder, Chairman, and Chief Executive Officer, Matt Kong, Chief Business Officer, and Harris Bassett, Chief Strategy Officer. Today's call will begin with Harris providing a review of the company's first quarter results, efforts, operational progress, and strategic direction, and I will close with an update on our financial performance. To accompany today's call, we have provided a supplemental investor presentation available on BitDeer's Investor Relations website under webcasts and presentations. Before management begins their formal remarks, I would like to remind everyone that during today's call we may make certain forward-looking statements. These statements are based on management's current expectations and are subject to risks and uncertainties, which may cause actual results to differ materially. For a more complete discussion of forward-looking statements and the risks and uncertainties related to BitDeer's business, please refer to the company's filings with the U.S. Securities and Exchange Commission. I also want to note that beginning with the first quarter of 2026, BitDeer has transitioned from international financial reporting standards to u.s generally accepted accounting principles as part of this transition bityear has adopted fasb asu 2023-08 which requires digital assets helped to be measured at fair value each reporting period changes in the fair value of our digital assets will flow through gap net income and may introduce non-cash volatility into reported earnings we will discuss this further during the financial review with that i will now turn the call over to harris thank you tesh and good day everyone the first quarter of 2026 demonstrated

biddeer's fundamental strength and resilience in a challenging environment for the broader mining industry our vertically integrated platform advanced across our four strategic businesses Bitcoin mining, basic development, AI cloud, and co-location data center infrastructure. We are making significant progress in each area. First, our Bitcoin mining production has grown almost 500% year on year. Second, we launched the industry-leading SEAL Miner A4 series. Third, we are rapidly growing our AI cloud revenue. And fourth, we are well on our way towards converting our Tidl Norway facility into what is expected to be Norway's largest AI data center with a lease tenant in advanced stages of negotiation. The combined strengths we see across our portfolio create optionality that is genuinely differentiated within our industry. We remain committed to Bitcoin mining and see significant opportunity ahead. At the same time, our three gigawatt global power capacity is a strategic asset that is increasingly relevant to AI and co-location customers. In Q1, we delivered total revenue of $188.9 million, an increase of approximately 170% year over year, with an adjusted EBITDA of $14.4 million, an approximate $60 million increase year on year. TESH will cover additional details of the financials here shortly, but first, let's turn to a review of our power and infrastructure portfolio, which remains the foundational asset underlying everything we are building. We continue to make meaningful progress across our global infrastructure footprint during the quarter. At the end of March, we had approximately 1.7 gigawatts of electrical capacity online, and a total global power pipeline of approximately 3 gigawatts. We believe this represents one of the largest and most AI-suitable power portfolios among publicly listed companies in our sector, and it continues to provide us with strategic optionality as demand for large-scale compute infrastructure intensifies. Our core sites are sizable, dispersed across multiple continents and regulatory jurisdictions. They include access to renewable energy with attractive economics, featuring infrastructure designed to support intensive, continuous operations. These are characteristics that are difficult and time-consuming to replicate, and they are increasingly what large-scale AI customers are looking for as they pursue power-constrained deployment. Over the past several months, we have seen the demand dynamics for AI data center capacity continue to sharpen. The supply and demand imbalance for AI compute has widened, and we expect this shortage to persist well into 2027 and beyond. Time to power remains a critical variable, and we are positioned to serve customers seeking both near-term and mid-term capacity in a way that very few operators can match. Against this backdrop, we are prioritizing co-location arrangements for our larger sites, which are best suited to serve hyperscale, neocloud, and enterprise tenants seeking substantial committed capacity. For our smaller facilities, we continue to pursue AI cloud opportunities, deploying capacity on a contract-backed basis. This tiered approach reflects a disciplined allocation of capital across our portfolio matching the appropriate commercial model to the scale and characteristics of each site let me walk through where we stand on key development sites tidal norway remains our highest priority co-location opportunity on march 30th 2026 our subsidiary tidal data center as entered into a formal agreement with Data Center Installations AS, a specialized Norwegian contractor, to develop and convert the TIDL facility into an AI data center. The project will deliver 180 megawatts of gross installed capacity, and the first phase is expected to be completed as early as December 2026. Upon completion, the TIDL facility is expected to be Norway's largest operational AI data center and one of the largest in Europe by installed capacity. This facility is being built primarily for co-location usage. Designed in accordance with NVIDIA guidelines and closely following NVIDIA reference designs, it is intended to support deployment of both GB300 and NVIDIA's latest Verirubin AI technology. What makes TITL particularly compelling to prospective tenants is a combination of attributes that are genuinely rare. Stable baseload power, enabled by 100% renewable sources, and an excellent power usage effectiveness, or PUE, of approximately 1.1, enabled by the cold climate and chilled water available from a nearby lake. Furthermore, the site was built such that it substantially reduces retrofit capital requirements relative to a greenfield build. We expect our remaining CAPEX costs to complete the TITL site to be significantly lower than typical Greenfield data center development costs. Orders for most long-lead equipment have been placed, and decommissioning of Bitcoin mining rigs at the site is already underway. Upcoming near-term milestones include finalization of key equipment installation contracts and technical installation work in several of our data homes. Lastly, we have also begun technical due diligence work on behalf of our future tenants. We are in advanced stages of negotiations with a potential co-location tenant for TIDL. These discussions, when completed, would result in highly regarded and well-recognized end users. Morgan Stanley has been retained as our financial advisor for this project. Signing the TIDL lease agreement is management's highest priority. At Clarington, Ohio, we have 570 megawatts of power under contract with AEP. This is one of the largest AI data center development opportunities in the United States among publicly listed companies in our sector. Design and preparation work is continuing for the site. As we have disclosed, litigation filed by a neighboring company could affect the timing of construction. Our attorneys feel strongly that we have a well-founded case and that the litigation has limited merit. On the business side, we are evaluating plans that can mitigate the impact on our overall development timeline. We remain optimistic about the potential for the site and we continue to build strong relationships with the local community and government officials at all our Ohio sites. At Rockdale, Texas, we are pursuing a dual-track strategy that maintains our existing Bitcoin mining operation while developing new AI infrastructure on adjacent land. In addition, we are working with ERCOT on incremental power capacity of 179 megawatts, targeted for energization by year-end. This will bring our total power capacity at Rockdale to over 740 megawatts. We are actively engaged in discussion with several prospective co-location tenants for this site. The Rockdale site benefits from its location in the ERCOT market and will be designed from the ground up to support AI workloads. This approach allows us to maintain revenue-generating mining operations throughout the development period rather than interrupting them beyond these three primary sites conversion projects are advancing at wenatchee washington and at knoxville tennessee both sites are undergoing design and permitting work for ai data center conversion with the wenatchee site and first phase of our knoxville site targeted for completion in the fourth quarter at niles ohio we are actively working toward the development of our 300 megawatt grid interconnected site with a target energization timeline of the fourth quarter of 2028. We also plan to break ground on our 101 megawatt Fox Creek, Alberta, Canada site in June of this year. Furthermore, we continue to aggressively look for additional opportunities to invest in land and power capacity, and we will share these updates as appropriate. The U.S. continues to be the primary hub for BitDAIR's global operations, bolstered by our confidence in pro-business, pro-innovation policies that support the growth of AI and digital assets. We remain firmly committed to scaling our presence in the U.S. On the Bitcoin mining side, the expansion of our self-mining platform continued throughout the quarter. Self-mining hash rate grew from 55.2 ETH per second at the end of December 2025 to approximately 65 ETH per second, exiting March. 65 ETH per second represents a year-over-year increase of more than 400%. We mined 668 Bitcoin in January, 705 Bitcoin in February, and 661 Bitcoin in March. The modest decline in March relative to February reflects seasonal factors at our Norway and Bhutan facilities, rather than any underlying deterioration in fleet performance, as witnessed by our April production of 783 Bitcoin. We expect to see continued momentum in the months ahead. Our mining operations are not plateauing. The Seal Miner A4 series, officially launched on April 7th, 2026, represents the most efficient mining rigs anyone has delivered. The flagship A4 Ultra Hydro model operates at 9.45 joules per tera hash. The A4 series also includes the A4 Pro Hydro and the A4 Pro Air at 10.9 joules per tera hash. These machines provide deployment flexibility across different site configurations and cooling environment. The A4 Pro Air is one of the most efficient air-cooled mining rigs in the world. Seal 04-2 chip development continues at our US-based design center. Importantly, our internal manufacturing capability means we are not subject to third-party hardware markups on these rigs when deploying them into our own fleet. This is a structural cost advantage over other mining operations. The inclusion of these new machines will continue to improve our fleet efficiency of approximately 16.4 joules per terahash as of March 31, 2026. That efficiency improvement, combined with our advanced chip design and supply chain resources, translates directly into lower cost per unit of hash rate produced, which means better mining margins at any given hash price level. Over the next several quarters, we plan to leverage our growing fleet of SEAL miners beyond our existing mining data center capacity and work with third parties to deploy incremental co-mining capacity at their facilities. This will allow us to maximize mining economics in the near term while maintaining flexibility to opportunistically drive SEAL miner sales into the second half of the year, depending on market conditions. On the seal miner manufacturing front, preparations for our Reno-Nevada factory are progressing. A facility lease has been signed and construction permit applications have been submitted to local municipal authorities. And we anticipate starting construction by Q3. U.S.-based manufacturing is a core component of our vertically integrated strategy in alliance with both our operational resilience objectives and the evolving trade and supply chain environment. Our AI cloud business has matured from a pilot service into a commercially distinct, structurally attractive business segment with rapidly growing revenue and a deepening enterprise customer base. For the AI cloud business, annual recurring revenue, which was approximately $10 million at the end of January, grew to approximately $21 million by the end of February, reached approximately 43 million at the end of March. GPU utilization climbed from 41% in January to 94% in March. At quarter end, we had 2,128 GPUs deployed including H100s, H200s, B200s and GB200s with 1,948 under active external subscription. More recently, in our April production update, we announced annual recurring revenue has now reached approximately $69 million with over 4,000 GPUs deployed. Customers are committing to longer durations, which improves revenue visibility and cash flow stability. Since late 2025, we have seen hourly pricing of H100s increase by approximately 40%. This is in direct response to demand levels, and the market is absorbing this increase without meaningful friction. This pricing power reflects the strong fundamentals of our AI cloud business. In January, we deployed our initial NVIDIA GB200 NVL72 infrastructure at our CyberJaya Malaysia facility. This marks the first phase of an accelerated expansion designed to support enterprise-grade training workloads on the Grace Blackwell architecture. In February, we launched a managed Kubernetes service with GPU-native orchestration, providing enterprise customers with scalable infrastructure for AI training and inference. Our Model Studio platform now supports more than 50 leading open source models, enabling clients to deploy everything from basic inference to advanced multimodal applications through a single managed environment. In March, we showcased our integrated AI solutions at the NVIDIA GTC conference, generating incremental business opportunities and strengthening our brand presence within the AI infrastructure ecosystem. We are actively evaluating U.S. data center leasing opportunities and expect to bring GPU capacity and AI cloud services online for U.S. customers in 2026. Consistent with our stated approach, any large-scale U.S. GPU expansion will be backed by committed customer contracts. Turning to our balance sheet, in February, BitDeer successfully priced an upsized offering of $375 million in 5% convertible senior notes due in 2032. We ended Q1 with cash, cash equivalents, and restricted cash of $298 million. We expect that the bulk of our fiscal year 26 total financing needs will be addressed through project-level debt financing following a signed lease agreement for our Tiedel, Norway site. Now I will hand it back to Tash to go over the detailed financials.

Thanks, Harris, and good day everyone. It's great to be here, and I look forward to meeting many more of our shareholders in the coming months. Let me walk through our detailed financial results for the first quarter. Before I begin, I would like to remind everyone that all figures are in U.S. dollars, and as noted earlier, this is our first quarter reporting under U.S. GAAP. In addition to discussing results calculated in accordance with U.S. GAAP, we will also reference certain non-GAAP financial measures, including adjusted EBITDA. Adjusted EBITDA excludes non-cash fair value changes on our digital assets and convertible note derivative liabilities, along with certain other items, and we believe it provides the most consistent basis for assessing core operational performance. For a full reconciliation of non-GAAP measures, please refer to our earnings release published earlier today on BitDeer's investor relations website. First quarter consolidated revenue was $188.9 million, an increase of approximately $119 million year-over-year. The year-over-year growth was driven primarily by the significant expansion of our mining hash rate and associated Bitcoin production, reflecting the continued CO miner deployment throughout 2025 and into 2026. Sequentially, revenue declined from $224.8 million in the fourth quarter of 2025, reflecting lower average Bitcoin prices during the first quarter relative to the fourth quarter, as well as a larger portion of our manufacturing output going towards self-mining deployment rather than external seal miner sales. Total gross profit was negative $39 million, reflecting a gross margin of negative 20.7%. Three converging factors drove the outcome. First, Bitcoin prices remain under pressure throughout the quarter. Second, our mining fleet carries substantial non-cash depreciation expense amounting to $70 million, given our rapid expansion. As a reminder, we now depreciate mining rigs on a three-year straight-line basis, and the pace of steel miner deployment throughout 2025 and into 2026 generates a significant concurrent charge. Third, a seasonal power cost dynamic at our Norway and Bhutan facilities weighed on energy costs in the first quarter. Looking ahead, the path to gross margin recovery is straightforward. A4 series deployment lowers our cost per Bitcoin mined. Spring and summer rate normalization reduces electricity costs. And the scaling of AI cloud revenue improves margin composition as that segment grows. Adjusted EBITDA was $14.4 million for the quarter, an increase of approximately $60 million year-on-year. The sequential decline from $24.3 million in the fourth quarter of 2025 reflects the gross margin dynamics described earlier. Operating loss in the quarter was negative $159.5 million, and earnings per share was negative 68 cents. Net cash use and operating activities was $346.9 million, a 42% reduction versus the Q4 net cash use and operations of $594.7 million. The primary drivers of the sequential reduction were lower steel minor supply chain and manufacturing costs partially offset by higher electricity costs. Turning to the balance sheet, we exited the first quarter with $297.7 million in cash, cash equivalents, and restricted cash, compared to $177.9 million at year-end 2025. Total borrowings at the end of Q1 were approximately $1.92 billion. For the full year 2026, we reiterate our guidance for total infrastructure capital expenditures in the range of $180 million to $200 million for crypto mining data center construction. This guidance covers crypto mining infrastructure only and does not include CAPEX for seal miner hardware, GPUs, AI cloud, or co-location development. Additionally, we anticipate a continuation of growth in our mining hash rate, albeit it at a more moderate pace than we have seen throughout the prior two quarters. In summary, the first quarter of 2026 was a quarter of execution and strategic advancement. Gross margins were under pressure from a combination of low Bitcoin price, the depreciation accounting impact of our fleet expansion, and seasonal power costs. These factors are transitory, and the forward catalysts for margin recovery are tangible and progressing. A4 deployment, power cost normalization, co-location, and scaling our AI cloud. Against that backdrop, we delivered on the key elements that will define the value creation we expect to deliver over the coming quarters. We launched the SealMiner A4. We grew AI cloud ARR by 105% in a single month. We engage a construction partner from Norway's largest AI data center. And we strengthen our balance sheet with $375 million in new capital. The co-location pipeline ahead of us is substantial, and we're pursuing it with full organizational focus. We enter the second quarter with strong operational momentum, a differentiated asset base, and a team that has demonstrated its ability to execute at scale. We are energized about what lies ahead and remain committed to delivering long-term value for our shareholders. Thank you. Operator, please open the call for questions.

Thank you. Ladies and gentlemen, as a reminder to ask the question, please press start 1-1 on your telephone, then wait for your name to be announced. To withdraw your question, please press start 1-1 again. Please stand by while we compile the Q&A roster. Our first question comes from the line of Greg Lewis with BTIG. Your line is open.

Yeah, hey, thank you, and good morning and good afternoon, and thanks for taking my questions. You know, Harris, I appreciate, you know, we're in advanced discussions on Tisdale in Norway. You know, that being said, kind of curious how you're thinking about that. You know, I noticed in the comments we talk about the design and planning. like how much design knowing that you know there is some similarities between certain customers and what they expect from a data center but but there are some differences how far in the process of the final design can we get is that something that we then need to wait for the customer to kind of move forward and and just as we think about you know the opportunity in Norway like Like, I know we're talking about hyperscalers, but, like, how important is that? I know there's some big tech Scandi companies maybe that we wouldn't think are traditional hyperscalers, that some people might not think are traditional hyperscalers, but are kind of big tech companies in Northern Europe. Just kind of curious if you could provide any color around, you know, some of those questions on that opportunity.

Okay, sure. Thank you, Greg. so um with regards to the exact technical specifications and there are differences between customers because different customers want to put in different machines you know versus gb300s versus vera rubens and the and a mix of of those machines and so um but we have i would say you know the vast majority almost entirely of the design uh in hand that we're still communicating with the most likely tenant here, the one that we're very close to signing, to make sure that all the design elements meet what their requirements are, which turn out to be very close to what the NVIDIA reference designs are. So, we think we have that well in hand. There's ongoing discussions, but just over very detailed type of stuff at present. And then with regard to the type of tenant, the two most important things here are that there be a very sound credit investment grade client or a very good credit wrapper. And so that's important. And then, of course, the economics of it are important. And we're focusing on on those two things. We think we've you know, if it goes through the way we expect in the time frame we expect, I think investors should be relatively pleased with both of those issues. And I can't say too much more about the tenant, but, you know, it won't be too long before I think we can announce that deal.

Understood. Thank you for that. And then I did want to touch on the Clarington, you know, in the press release you mentioned and then actually in the prepared remarks, we mentioned the, you know, maybe some of the delays that are going on, realizing that that is active. Could you kind of at least provide like some broad strokes around what is actually happening? I mean, yeah, just kind of like that, that was news to us. So just want to understand what some of those headwinds are that you're going to have to deal with.

Which location are you referring to?

I'm sorry, Clarington.

Oh, Clarington. Well, we announced earlier about the litigation at that site, and we're still working through that. And, you know, we expect that that will have an impact on the construction schedule. There's not really a lot more I can say about that where we are looking at, you know, ways of mitigating those impacts.

I mean, I guess what I would ask is that the power is approved, so it would have to be something more around, like, the land use, or is that how, is that kind of?

Yeah, it's not really a question of the power.

All right. Thank you, guys.

Thank you, Greg.

Our next question comes from the line of Mike Colonese with H.C. Wainwright. Your line is open.

Hi, good morning, guys. Thank you for taking my question. and nice to see all the progress across your business lines here. So it sounds like Teal's progressing nicely. I was wondering if you could provide a little bit more color around Rockdale. It sounds like you're going to simultaneously construct a new AI data center alongside your Bitcoin mining operations there. Can you talk about the level of client demand for that specific asset? Sounds like a really unique opportunity given the power capacity and really what the development timelines could ultimately be for that part of the portfolio for an AI co-location opportunity?

Yeah, I think it's a little early to predict the exact development timeline for that. It's a very attractive site for AI. And, you know, one of the things to make it even more attractive would be to have more land, which is what we're working on at that site. But, you know, the power is there and it's going to be expanded to even a larger envelope of power. over 700 megawatts so it's it's good location for ai we're speaking with several um potential tenants there uh they span you know from hyperscalers to neoclouds and even some others but um the level of demand i think is very high i think of the um that i can't really put a good timeframe on the execution of that site yet. But we're moving forward on at least making sure that we have an appropriate land space where we can develop the AI data center while the Bitcoin mines are still operating.

Got it. Very helpful, Collar Harris. Appreciate that. And then speaking on the AI side, but more on the cloud business, that is seeing really strong growth here between I mean, GPU deployments, utilization rates. Just curious to get a sense as to how durable that revenue stream is here. Obviously, the utilization rates are helping, but to the extent you could share more information around the contracted element to it. And then also, you know, if there are any sort of internal benchmarks you guys are looking to grow that business this year, obviously you have multiple business lines you're working through, But, you know, thinking about GPU expansion from the round 4,000 that you guys have today, you know, the best way for investors to think about that.

Yeah, I think there's tremendous demand for GPUs. And it's really, on our part, limited by how quickly we can bring up these GPUs and AI cloud sites. But the demand is there. It's across the board. It's, you know, we mentioned we were able to raise the rates on our H-100s by 40% and have no problem booking those. So we're also starting to get longer term contracts. I don't know. Jihan, did you want to add anything to that?

Maybe.

You're on mute, John.

Oh, OK. I muted myself. OK. Right now, most of our contract is a long term contract right now. So it takes the majority of our machines in long-term contracts. And right now, customers, we need to agree with us on such terms in three to five years. Got it. Very helpful, colleague. I appreciate you taking my questions.

Thank you, Mike.

Our next question comes from the line of Mike Grundahl with Northland Capital Markets. Your line is open.

Hey, guys. This is Logan on for Mike. Thanks for taking our question. First, can you just provide some insight into the conversations around pricing and terms at Norway and also some color on just what the remaining hurdles are to getting a lease signed at the site?

Yeah, I don't think we're going to give you satisfaction on the pricing other than we think it's near the top of the market of what we've seen announced. So we think it's going to be quite good. Let's see, for what's left, there's just a lot of detailed work. We are in the late stages or advanced stages of negotiating release, and there's just a lot of small details. There's no one big thing that stands in the way. But all these small little things do have to get handled before we can have a finished signed lease. So there's no one thing that's standing in the way here. We're trying to move as fast as we can. It's our highest priority within the management chain here. And you know, we're applying a tremendous amount of resources to it. There's just a lot of detail that needs to get covered here.

Got it. And that's great to hear on the favorable pricing. And then one more. In your April update, you mentioned that various other sites outside of Norway, Clarington, and Rockdale are in advanced stage negotiations. Are you guys at a point to be able to formally call out those sites by name? And if not, can you just provide some color around how demand for your sites has changed over the last 90 days? Thank you.

Yeah, I mean, I think the last 90 days, it stayed, it's pretty much, you know, it stayed very strong. I don't know how to quantify whether it's gotten a little stronger or not, but we haven't seen any diminishment, that's for sure. And, yeah, we are not in a position to announce the schedule for any of the other sites in terms of the co-location. The AI cloud sites, we have announced, you know, 2-4 of this year for Wenatchee and the first base of the Knoxville, Tennessee site. So is there something different than that you were looking for?

No, that's all good.

But thank you, guys, and congrats on an impressive start to 2026. Thanks, Lillian.

Our next question comes from the line of Kevin Cassidy with Rosenblatt. Your line is open.

Yes, thanks for taking my question, and congratulations also on all the progress you have. Just going back to the AI cloud, very impressive that you're able to raise hourly rates by 40% on the H100. What's the trend as you go to the higher performance GPUs? What kind of rate increase should we expect on the hourly wait rate?

Maybe I'll ask Jihan to answer that question since I don't have a good feel for that.

Well, because previously we have mostly signed with a short-term contract. So after the contract ends, we had the opportunity to rate the rates. But right now, most of our GP cost is in kind of a long-term contract. So the rate will be relatively stable from now on.

I guess your question is how the rate differs from the high-end machines to the H100, right? Is something like that? Yeah.

And if we go into higher end GPU, that means we are deploying new GPU. And right now all those contracts are negotiation where we are preparing the data centers and installation work. Generally, we can feel that the customers are quite competitive on the demand side. And we needed to definitely to choose our clients so they can be stable and also profitable. that's what we need to wait. So I actually, in general, I'm quite optimistic about the profitability of the GPU renting AirCloud business because the customers are quite willing to pay good price to get the GPU.

I see. Okay, thank you. And just Maybe it wouldn't be a BitBeer conference call if I didn't ask about the SEAL 04, the second version. You mentioned you're still working on it, but do you have any timing and what the targeted joules per tera hash is?

We haven't changed the target, and we're not ready to announce new timing on that yet, so sorry about that.

Okay. Just obliged to ask that question. I was surprised that wasn't a good question, Kevin. Okay. Thank you. Congratulations. Thanks.

Our next question comes from the line of Nick Gills with B-Riley Securities. Your line is open.

Thanks, Operator. Good morning, everyone. Maybe just a follow-up from an earlier question around, you know, So to what stage across some of these other sites would you be willing to, you know, kind of build for co-location purposes, and what level of CapEx would be associated with that? And then, you know, do you have a rough estimate of how much CapEx you've deployed to date towards co-location conversions across the platform?

We haven't announced or revealed our CapEx for co-location conversion. Other than to say that the amount of capital required in Norway is remarkably less than the normal amount of CapEx required. We expect that the CapEx requirements at other sites, the U.S. sites, will be closer to the typical amount needed to build an AI data center. that we will be able to get some of the savings that we had in Norway at other sites, but not to the same extent.

I appreciate that, Harris. Maybe switching gears, just on the, we know, Nevada side of the facility, the ASIC facility, any kind of preliminary estimates on what CapEx could be there?

And then how would this change your margin profile in that business, uh if at all um yeah i think um that just to remind everyone that's the site where we're assembling uh asic mining rigs uh john do you have a an answer for that question yeah so i i don't think we've reported we haven't reported the amount of capital required for that site it's uh you know significantly smaller than uh the amount of capital required for like a a data center or even a bitcoin mining site um what was the other part of that question

Really, I was just curious, you know, the margin profile of that business, yeah.

Well, it will be a little bit more expensive to build in Reno than it will be in Asia or to assemble there. But, you know, most of the cost of our mining rigs is really embedded in the silicon itself, which is still made by TSMC in the same location. So we think that the incremental cost of assembling in the U.S. will be, you know, covered by, for example, tariffs and things like that. So we think it will be a very good location for us and within a reasonable price increment of building in Asia, especially if you account for tariffs.

Understood. Thanks a lot, Harris.

Thank you. Our next question comes from the line of John Todaro with Needham. Your line is open.

Thanks for taking my question. Congrats on the progress so far. I guess just going back to Rockdale and Clarington, obviously some pieces need to still be completed there to get development moving along. I think my understanding is it's mostly acreage. I guess what are some of the limiting factors there? Are we just kind of in negotiation processes for that? Do you need some additional cash to get those items done? I guess just trying to understand that a little bit better to see how far along we can be.

Well, I think one way to think about it is that the amount of power, say, in Rockdale is much larger than the amount of land. Right. So that's a, you know, something that we want to rectify. And it's really around those kinds of issues that we want to make sure we're able to fully utilize all of the power that we have at those locations. And, of course, in Clarington, there's the additional complication of the litigation.

Okay, understood. Thanks. And then shifting to Bitcoin mining machine sales. So obviously a lot of the U.S. public miners are pulling back as they shift towards AIHPC. you guys have had a little bit more external sales in international markets. So wondering, you know, how does that change the sales strategy? Is it actually a benefit versus a negative that there's more public U.S.-focused miners pulling back and maybe that shifts more opportunity to do sales internationally? I guess just trying to frame up how that shifts for external sales a bit longer term here.

So one thing I just want to remind you is that we're not really pushing that hard for external sales at this point, you know, we're almost all of the output is being used internally by our own data centers. We do, as you mentioned, sell internationally. So, you know, the fact that a lot of the US mining companies are pulling back is not as, you know, has a little mitigated impact based on that. Then, you know, I don't know, Gihan, did you want to make any additional comments on Bitcoin mining ASIC sales or demand?

Gihan Li- Right now, because of the constant supply of the semiconductor fabrication transportation service, we intend to do more self-mining. And self-mining is also, I believe, is a profitable business, so we still have some Bitcoin mining We haven't filled it, and we also have lots of partners that want to do coal mining in partnership with us, which means that we provide a Bitcoin mining rigs and they provide a Bitcoin mining farm so we can share the Bitcoin mining hash rate and we will get a majority out of it. And the electricity bill needs to be transparent and no markup from the mining partnership side. it's um it's quite scalable uh so we are not very aggressive on selling the mining rig right now um another beacon price is still in its bearish situation um and if we sell the manual x we will have to do it at a very bad price, I think. So I think to expand our self-mining is the best economical decision for our company.

Understood. Thanks on that. So the focus is almost primarily on internal. Okay. Thank you for that, gentlemen. I appreciate it.

Thank you. Ladies and gentlemen, as a reminder to ask the question, please first, 1-1 on your telephone. Our next question comes from the line of Brian Kintzlinger with Alliance Global Partners. Your line is open. Your line is open. Check to see if you're on mute. I don't have a response from Brian. All right, ladies and gentlemen, I'm showing no further questions in the queue. I would now like to turn the call back over to Harris for closing remarks.

Well, I think actually it's Tash. Do you have some closing remarks, Tash?

Yeah, I think we just want to thank everyone for joining the call. You know, we're exiting the first quarter with clear operational momentum here, a focused strategy, and we're really executing decisively on our AI infrastructure pipeline. Thank you for joining us today, and we look forward to driving us to sustainable long-term value creation. Thank you, everyone.

Ladies and gentlemen, that concludes today's conference call. Thank you for your participation. You may now disconnect.