Canada-based Bitcoin (BTC) miner Hut 8 Mining Company has ramped up its ongoing struggle with its energy provider for considered one of its mining websites, submitting a lawsuit in a Canadian courtroom.
Hut 8 said on Jan. 26 it filed a Assertion of Declare within the Superior Court docket of Justice of Ontario towards Validus Energy, an power provider for a Hut 8 mining facility in North Bay, Ontario.
The companies have been in an ongoing dispute since early November 2022 as a result of what Hut 8 alleges is a failure by Validus to “meet its contractual obligations” for the facility buy settlement (PPA).
In its new lawsuit, Hut 8 is searching for “financial damages incurred on account of the dispute” and enforcement of sure provisions as per the settlement signed by the 2 firms.
On Nov. 9, 2022, Hut 8 issued a discover of default to Validus alleging it failed to realize milestones by the dates outlined within the PPA and claimed the agency demanded Hut 8 pay for power that was at the next value than that underneath the phrases of the settlement.
An update from Hut 8 later that month revealed Validus suspended the supply of power to its North Bay web site. Validus fired again with its personal default discover alleging Hut 8 didn’t pay for its energy expenses — a declare Hut 8 denies.
— Hut 8 (@Hut8Mining) October 25, 2021
To this date, operations on the web site stay suspended. Hut 8 stated it’s exploring alternate options to mitigate the influence of the dispute together with by way of “natural and inorganic development alternatives.”
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Earlier than it was taken offline, the North Bay web site had 8,800 crypto mining rigs and a hash charge capability of 0.84 exahashes per second (EH/s), accounting for over one-fourth of its complete manufacturing capability, in line with a December 2022 investor deck.
Cointelegraph contacted Validus and Hut 8 for remark however didn’t obtain a direct response from both agency.