Chris Brendler: Okay. That’s helpful color. Sort of a related question. I like the way as you think about the trade-off between mining and selling power, I think you were giving some converted metrics, like what kind of Bitcoin price we’re looking at in terms of where that line is. I don’t know if I missed it this quarter, but can you talk about €“ given the extreme volatility, I think we’ve seen in power prices? Like where is the Bitcoin equivalent today? And what does it look like on the forward curve?
Matt Smith: Yes. So €“ go ahead, Greg.
Greg Beard: I think just €“ I know everyone sort of speaks in Bitcoin that’s probably seen in this call. So to convert Bitcoin to power an efficient machine will make more than $100 a megawatt hour equivalent. And so obviously, it takes pretty high power pricing to power more than $100 a megawatt to want to divert power back to the grid. At the same time, our cost of power, as we’ve disclosed, is now well below $50 a megawatt hour. So, even when they are running the plants, we can make a healthy margin on those efficient machines. The benefit we see today is that if you look at like PGM pricing like right now, as I’m speaking, it’s below $20 a megawatt hour. So we think that’s a cost advantage that few other miners would have.
So as we’ve talked about in cases like now, we have €“ we’re focused now on making power, but on buying it at that cheap price in the grid and converting it to Bitcoin. So €“ and prices €“ when prices are super high, or I think above $100 a megawatt expect us to sell to the grid. When prices are low, expect us to buy. And then there is obviously the cases in between. Ironically, a little bit, one of the impacts that we see over the medium and definitely long-term is the impact of renewable energy installations into PJM or grid is having the effect of increasing pricing during some periods and decreasing in others. So it’s like we’re creating a grid that is a little bit less stable because we’re taking out sort of what you’d call baseload fossil fuel plants and replacing them with intermittent solar and wind assets.
So when power is cheap, it can even go €“ it can go negative. And so we’re in a great position to take advantage of what is quickly becoming sort of the new reality in the power market. And hopefully, we will have others agree with us that this is a really valuable option. Long way to answer this question, but here you go.
Chris Brendler: That’s great color, Greg. Thank you. Maybe I could squeeze in one more. Just €“ I guess I’m surprised and pleased to see the progress with the minor VA and MinerVa, and how these €“ you’ve almost gotten all the value out of that contract. We mentioned that are performing largely in line. Is there a significant difference been the rest of your fleet and those machines in terms of efficiency and uptime? Or is it actually pretty close?
Greg Beard: They still lag a little bit. So I think if you think about the MinerVa deliveries. The first batch have got was really the disastrous match and that the uptime with those early machines was low. We have problems with the power supply units that they sent. And I think if you were to grade MinerVa on the later deliveries, their performance is more in line with what we would expect it from a sort of more seasoned manufacturer and also, I think, credit to our own engineering team, we have sorted out what the fixes are for the machines and can now get them to be a little bit higher. So I think overall, the performance, we’d say is pretty close to what was originally expected, I would say, that are in line with those expectations. But I think it took a little more work to get there on the progress.
