Tlou Energy trials crypto mining
Tlou Energy is considering mining of crypto currencies as a way to monetise excessive gas that flows during drilling. Crypto mining, according to NDTV. com, is the transaction in which new coins such as Bitcoin are generated and verified. It entails massive, decentralised networks of computers all over the world that verify and safeguard block chains, which are virtual ledgers that record crypto transactions.
In its Quarterly report ended June 2022, Tlou Energy stated that it has successfully completed a small crypto mining trial at its field camp and earned some initial revenue, although an immaterial amount.
Tlou Energy Managing Director, Anthony
Gilby highlighted in the report that the trial used excess field camp electricity to run crypto mining units to produce Bitcoin. “This has established proof of concept and built in- house technical expertise. The next stage will involve powering the crypto miners using electricity generated from the Lesedi 4 production well, i. e. using gas which would otherwise be flared. Thereafter, the Company can look at expansion of the project all else being equal.”
He explained that the Company’s primary objective remains gas and solar power generation and sale within Botswana, followed by hydrogen and solid carbon production. “Crypto mining is currently only planned to be conducted if excess gas or power is available.”
The company’s two production wells, Lesedi 3 and Lesedi 4 continue to produce with the current gas reserves standing at approximately 41 billion cubic feet (~ 7.2m BOE). Tlou is planning the development of a Hydrogen and Solid Carbon project at Lesedi alongside the Gas- to- Power development. The Company’s hydrogen technology partner Synergen Met Pty Ltd ( SM), a specialist in plasma torch and pyrolysis technology, is designing and building a prototype unit for shipment to Lesedi. In advance of shipment the plasma torch will be tested and configured to optimise hydrogen and solid carbon production.
Tlou and SM intend to use the hydrogen produced from the prototype to generate electricity and possibly as transport fuel. Solid carbon will be made available for regional consumers that require the product. World markets for hydrogen and solid carbon or graphite may expand considerably over the medium term.