Gas-Powered Crypto Mining in Argentina

Tecpetrol, a hydrocarbon company headquartered in Buenos Aires, has decided to convert excess gas into energy for cryptocurrency mining.

Local media reported on September 24 that Tecpetrol will launch its first gas-powered cryptocurrency mining facility in the Los Toldos II Este region of Argentine Patagonia, located north of Vaca Muerta.

According to the company, its strategy would enable it to advance its crude oil production project and optimize gas utilization, thereby reducing waste.

The company intends to drill at least 35,000 barrels of oil daily at the facility, but, given the absence of infrastructure to consume the gas being released in the process, it decided to explore crypto mining as a strategic choice to consume it.

“Given our inability to release the gas into the environment, we have opted to implement cryptocurrency mining operations.”

As Tecpetrol CEO Ricardo Markous explained, Tecpetrol expects to begin cryptocurrency mining between the end of October and the beginning of November. The primary objectives are to reduce environmental impact by preventing gas emissions and to increase profits.

The organization has already signed contracts and is collaborating with an unnamed firm with experience implementing similar strategies in the United States.

According to a recent paper by the Institute of Risk Management, Bitcoin mining has the potential to reduce global emissions by up to 8% by 2030 by converting the world’s wasted methane emissions into less hazardous emissions.

Using captured methane to power Bitcoin mining operations can reduce the quantity of methane vented into the atmosphere, according to a hypothetical scenario cited in the report.