Bitdeer Transforms Norway Mining Site into $4.7 Billion AI Hub

Bitdeer has struck a $4.7 billion deal to convert its Bitcoin mining site in Tydal, Norway, into an AI computing facility. The agreement with Volta Tydal AS spans 16 years, with an option to extend to 24 years, potentially boosting the value to $8 billion. The project involves 121 megawatts of IT capacity, supported by 133 gross megawatts of power, primarily from renewable hydropower.

Under the deal, Bitdeer expects average payments of $202 per kilowatt per month, with annual 3% increases. Volta will cover electricity costs, and Bitdeer forecasts annual revenue of $2.4 million per IT megawatt, with a net operating income margin of around 90%. The facility will use NVIDIA GPUs for an unnamed leading AI lab, with Dell Technologies as the technology provider.

The project is set to launch in two phases, with operations beginning by December 31, 2026, and March 31, 2027. Bitdeer estimates $500 million in remaining capital expenditures for the conversion. The deal includes a no-fee termination right for Volta after 10 years, backed by about $1.3 billion in letters of credit.

This move is part of Bitdeer’s strategy to expand into AI infrastructure while maintaining its Bitcoin mining business. The company notes that its operating dates and spending figures are targets and estimates.