Crusoe Energy Starts Crypto Mining in the Middle East

United States Energy Company Starts Crypto Mining in the Middle East, to Use Stranded Natural Gas

Crusoe Energy, a Denver-based company, will assist Oman in reducing gas flaring using a pilot project that is scheduled towards the end of the year. 

Crusoe Energy to Help Oman Fight Natural Gas Flaring 

As the discussion on the ethical aspects of fossil fuels in crypto mining continues, an unexpected partnership between the administration of Oman, one of the gas-rich nations in the Middle East, and a Denver-based mining firm is opening a new positive role of cryptos to help in cutting down gas flaring

On Wednesday, 1st June 2022, Bloomberg published a story highlighting how Crusoe Energy, a firm that is repurposing wasted fuel energy for the computational power of crypto mining, would commence operations in Oman. The country exports 21% of its total gas production and is seeking to reach zero gas flaring by 2030. 

The American firm will start by opening an office in the capital Muscat and then install equipment for capturing waste gas from all the sites. Already, the company has held a workshop with OQ SAOC and Petroleum Development Oman, the two largest oil producers in the country. However, the pilot project will not commence until later this year, according to Crusoe’s CEO, Chase Lockmiller. 

Crusoe Targets Helping More Gas-Producing Nations Fight Flaring 

The interest in this partnership by the government of Oman is based on the need to reduce the nation’s gas flaring. This is the burning of excessive flammable gas during extraction. Oman, alongside Iraq, Libya, Algeria, Egypt, and Saudi Arabia, accounts for 90% and 38% of the flaring reported in the Arab region and across the globe, respectively. According to the UN’s Economic and Social Commission for Western Asia, 10% of all gas consumption in Oman went to flaring in 2018. 

Lochmiller emphasized his company’s focus on helping companies in the Middle East and North Africa to fight the challenge of flaring. “Having the buy-in from nations that are actively trying to solve the flaring issues is what we are looking for,” explained Lochmiller. 

In March this year, Exxon Mobil entered into a partnership with Crusoe to test a project in Bitcoin mining at the Bakken shale basin in North Dakota. However, this information was not confirmed by the companies at the time of going to press.

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