Georgia County Blocks LN Energy’s Bitcoin Mining Permit
A Bitcoin mining operator that sold $26 million in infrastructure assets to CleanSpark (NASDAQ: CLSK) in Georgia is planning a new site in the state but faces opposition from local residents.
According to a report from the Blackshear Times on Tuesday, the Pierce County Commission in Georgia unanimously denied LN Energy’s request for a conditional use permit to establish a Bitcoin mining operation at 1199 Cason Road, Blackshear, in the Rehobeth Church Community.
The report stated that over 150 residents attended the meeting, with “virtually everyone in attendance” opposing the permit.
Eric Su of LN Energy explained that the proposed Bitcoin mine would create one to three jobs with a salary of at least $60,000 but did not address other concerns raised by residents, such as noise, high energy consumption, and potential declines in property values.
LN Energy, the company behind the proposal, previously sold five turnkey Bitcoin mining operations totaling 60 megawatts in rural Georgia to CleanSpark for $26 million. Jianjun Yao, a manager from LN Energy, signed the contract for the deal.
Satilla Rural Electric Membership Corporation (REMC), a utility company that serves Pierce County, estimated the power bill for the proposed facility would be around $6 million annually. The county would receive tax revenue from the sale of power to the mining operation.
Jim Tucker, a distribution engineer for REMC, reassured residents at the meeting that the utility had more than enough capacity to serve both the community and the proposed mining operation. However, he also emphasized that LN Energy would be required to turn off the facility during peak loads caused by extreme weather conditions.
Currently, Pierce County does not host any Bitcoin mining operations, and it appears that education on the subject is still needed. During the meeting, some residents reportedly voiced misconceptions, including the belief that Bitcoin mining involves actual mines in the earth, while others expressed concerns about “Chinese nationals” being involved at the site.
