Bitdeer is scaling up its Bitcoin mining footprint in South Texas before its first machines have even finished plugging in.
Soluna Holdings (NASDAQ: SLNH), a developer of green data centers for Bitcoin mining and AI workloads, announced on September 24 an amended agreement with Dory Creek, LLC, a wholly owned subsidiary of Bitdeer Technologies Group (NASDAQ: BTDR), that expands Bitdeer’s deployment at Project Kati 1 by approximately 7 MW. The bump takes Bitdeer’s total commitment at the wind-powered site to 35 MW and roughly 2.42 EH/s of hash rate, and it fully subscribes the site’s K1BC phase, according to the company’s press release.
The expansion is expected to be complete in November 2026, and it marks the first time the partnership has grown since it was signed only a month earlier.
A co-mining structure that paid off early
The original agreement, dated August 25, called for Bitdeer to deploy approximately 28 MW of mining equipment, representing about 1.93 EH/s, with deployment beginning in September 2026 and ramping in batches. Under the arrangement, Soluna provides the site, the power, and turnkey operations, while Bitdeer provides and owns its Sealminer A2 Pro Air machines. The two parties then share in the mining proceeds the deployment generates.
Co-mining was a new structure for Soluna’s Bitcoin platform when it was introduced in August, and the company’s leadership views the rapid expansion as validation of the model.
“We entered our first co-mining agreement with Bitdeer in August, and we are expanding it before that deployment is even finished,” said John Belizaire, CEO of Soluna. “That is the strongest endorsement either of us could give the structure. Kati 1 is fully spoken for, and the operating history we are building there is what makes the next site possible.”
Why a wind farm in Willacy County matters
Project Kati 1 is an 83 MW wind-powered data center in Willacy County, Texas. The site delivered its first gross profit in the second quarter of 2026, a milestone Soluna highlighted when the original Bitdeer deal was announced, and it forms part of a campus that Soluna has positioned for much larger ambitions. Earlier in September, the company said it had finished Kati 1 and secured a conditional base load position in ERCOT for the full 166 MW campus, a signal that the grid operator is preserving room for the project’s next phases.
The Texas site is one of four operating facilities in Soluna’s portfolio. The company has 192 MW of data center capacity in operation across Project Sophie in Kentucky and Projects Dorothy 1, Dorothy 2, and Kati 1 in Texas, with an additional 14 MW under construction at Kati 1. Beyond that, Soluna’s development pipeline totals 6.3 GW across projects in planning, development, and assessment with power partners, an indication of how much further the company believes its renewable-plus-computing template can scale.
The growth narrative is showing up in the financials as well. Soluna reported that revenue grew 145 percent year-over-year in its second-quarter 2026 results.
Bitdeer bets on Bitcoin while rivals pivot to AI
The expansion also says something about Bitdeer’s positioning. While many publicly traded miners have redirected capital toward AI and hyperscale data center leases, Bitdeer is doubling down on Bitcoin mining capacity at exactly the moment the network’s economics are being stress-tested. The industry backdrop is choppy: Bitcoin’s seven-day average hashrate recently touched a three-week low as miners trimmed holdings, and margins remain tight for operators without access to cheap power.
That is precisely the niche Soluna says it occupies. By siting data centers next to renewable generation that would otherwise be curtailed, the company argues it can offer mining partners lower energy costs and a smaller environmental footprint, while its co-mining structure lets it participate directly in mining proceeds rather than collecting flat hosting fees alone.
For Bitdeer, the appeal is similar in reverse: the company owns and operates its own Sealminer A2 Pro Air hardware, keeps a share of the mining output, and hands site operations, power procurement, and uptime to a partner whose core business is running green data centers. The 7 MW amendment suggests the early operating data from the September deployment ramp justified adding capacity ahead of the original schedule.
What to watch
The immediate milestone is November 2026, when the expanded 35 MW deployment is expected to be complete. Beyond that, the safe harbor language in Soluna’s release explicitly flags potential additional deployments and a further expansion of the relationship, whether at Project Kati or at other current and future Soluna sites. With K1BC now fully subscribed, any further Bitdeer growth at the site would have to come from Kati’s later phases, which Soluna has already secured grid position for.
For Bitcoin mining watchers, the deal is a reminder that even in a difficult market, well-powered capacity remains scarce, and counterparties with machines are willing to commit to sites where the power story is credible. As of press time, Bitcoin trades at 83,206 USD, with Ethereum at 2,674.18 USD and Solana at 117.70 USD, according to a CoinGecko snapshot from September 28.
35 MW booked before the first machines finish plugging in, plus conditional base load for the full 166 MW campus. kati is quietly becoming the template for wind mining deals in texas
35 MW off one wind site and Kati 1 fully booked before the first miners even finish plugging in. tells you how scarce well-powered land still is in Texas.
2.42 EH across 35 MW is roughly 0.069 EH per MW, thats decent for an air cooled site tbh
35 MW fully booked at Kati 1 before the first machines even finish plugging in. wind powered mining in south texas is quietly the best margin game left in this industry
2.42 EH/s across 35 MW works out to roughly 14-15 J/TH. so Bitdeer is shipping near flagship efficiency to a wind site, not dumping old S19s there. that says a lot about the deal terms
the A2 Pro shipping to Willacy County is honestly the most bullish detail here. Bitdeer does not send flagship efficiency hardware to a site it expects to fumble
air cooled at that efficiency in south texas humidity is the impressive part. someone finally ran the derating math properly
SLNH keeps announcing fully subscribed phases and the stock still trades like a rounding error. someone will notice eventually
this. fully booked phases, conditional base load on the full 166 MW, and SLNH still trades like a delisting candidate. the market will catch up eventually
everyone is staring at the 35 MW but the conditional base load position for the full 166 MW campus is the real story. ERCOT holding grid capacity means Kati 2 is basically pre-wired for approval
great deal for Bitdeer, they bring machines and get a turnkey site. SLNH holders keep funding the infrastructure though, that equity has been diluted so many times to build these projects
fair point on the dilution history but co-mining is literally how they dilute less now. Bitdeer brings its own machines, SLNH only fronts the site and power. compare that to the equity raises they needed in 2023
dilution history is real but the co mining structure fixes exactly that. bitdeer brings the capex, slnh fronts land and power. thats the point of the amendment
willacy county getting the A2 Pros is the tell. you dont ship your best efficiency hardware to a site unless the power contract is locked for years