The company said the 320-acre site in west Texas will provide access to up to 800 megawatts of electrical energy, most of which will be from renewable sources

() announced that DPN LLC has signed a letter of intent (LOI) that sets out the terms to acquire 320 acres of land in West Texas, USA. A new cryptocurrency mining facility with 200 megawatts is to be built there next year for 12 months.

The company said that when completed, the facility will provide electricity at some of the lowest rates in the world, with most of it coming from renewable sources. Argo said the country will have access to up to 800 megawatts of electrical energy.

READ: Argo Blockchain Reveals Digital Asset Company Investments

The acquisition will cost a total of $ 17.5 million (£ 12.7 million), which will be paid in Argo stock. DPN will receive shares valued at $ 5 million upon conclusion of the agreement, while the remaining shares valued at $ 12.5 million will be paid out in installments once the contractual milestones are met.

Argo also said the project will provide it with access to a pre-negotiated credit facility of $ 100 million on competitive terms, which will provide it with sufficient leverage to grow the facility and further expand its mining fleet, operations and capacity .

“We are very excited about this proposed acquisition. It gives Argo tremendous control over its mining operations, as well as significant capacity to expand. We have also secured access to some of the cheapest renewable energies in the world in a place where new technology innovation is possible are encouraged and promoted, “said Peter Wall, CEO of Argo, in a statement.