Phoenix Group, a blockchain and cryptocurrency company listed on the Abu Dhabi Securities Exchange, has announced the expansion of its bitcoin mining operations in Ethiopia, with the acquisition of an additional 52 megawatts (MW) of power supply.
The move will bring the company’s total capacity in the country to 132MW and increase its global footprint to over 500MW across five countries.
The project to proceed in gradual phases
The new Ethiopian site will be constructed in two phases. Phase one, which adds 20MW of capacity, will deploy 5,300 high-efficiency air-cooled mining units capable of generating 1.2 exahashes per second (EH/s).
The second phase, scheduled for completion by the end of the second quarter of 2025, will contribute the remaining 32 MW using hydro-cooling technology.
The expansion follows the firm’s earlier entry into the Ethiopian market through an 80MW power purchase agreement (PPA) signed in January. This initial agreement will lay the foundation for efficient, cost-effective, and sustainable African operations.
Speaking on the development, Munaf Ali, CEO and co-founder of Phoenix Group, said: “The opportunities for future growth are immense, and we are committed to aggressively expanding our global footprint in key energy markets. Initiatives like our latest expansion in Ethiopia are pivotal steps, not only creating significant value today but also solidifying our position at the forefront of this dynamic global industry for years to come.”
Ethiopia has emerged as a key destination for Bitcoin mining, driven by its low-cost, renewable energy. In 2024, the country accounted for 2.25 percent of the global bitcoin hash rate, ranking fourth globally. The government has also demonstrated support for the sector, with Ethiopian Electric Power (EEP) allocating 600MW for mining operations and signing deals with 21 international companies.
Phoenix Group reiterates its dedication
Phoenix Group emphasizes its commitment to sustainable mining practices, sourcing 90 percent of its Ethiopian energy needs from renewable hydropower, particularly through the Grand Ethiopian Renaissance Dam.
“With 132 MW now running on clean hydropower, we’re proud to set a new benchmark for sustainable mining in Africa and deliver large-scale operations in energy-rich regions,” said Reza Nedjatian, CEO of Phoenix Mining, AI & Data Centers.
Shares of Phoenix Group, which were listed on the Abu Dhabi Securities Exchange in December 2023, have declined 26 percent year to date, closing at AED0.88 on Wednesday.