Keel Infrastructure has halted all U.S. mining operations to shift focus to AI data centers, while liquidating bitcoin reserves.
Keel Infrastructure, previously known as Bitfarms, has officially halted all mining activities across the United States. The company is shifting its focus to repurposing its facilities into data centers aimed at artificial intelligence (AI) and high-performance computing (HPC) operations, as outlined in its Q2 quarterly report.
As part of this strategic transition, Keel has been liquidating its bitcoin holdings, having sold 1,085 BTC for approximately $75 million between April 1 and August 7. Currently, the firm retains 1,861 BTC in its reserves.
Keel's liquidity totals $819 million, consisting of $698 million in cash and $121 million in cryptocurrencies. The company raised $458 million through convertible bonds during the quarter, although its revenue fell to $30.4 million, a 50% decrease from the same period last year. This decline is attributed to a drop in bitcoin prices and the suspension of mining operations at its Moses Lake facility in Washington since April. Administrative expenses also surged from $19 million to $31 million as the company hired specialized personnel for project management.
Operating losses reached $141 million, which included $84 million in non-cash depreciation, contrasting sharply with an operating profit of $11 million during the previous year. The net loss stood at $65 million, significantly higher than the $5.5 million loss reported in Q2 2025, while adjusted EBITDA fell to a negative $24 million.
CEO Ben Gagnon highlighted the critical need for electricity access, stating, "Energy capacity is the main constraint. Everything else derives from this." He noted that the company is close to obtaining full permits for its priority sites and is negotiating with potential tenants. However, no lease agreements have been finalized yet. Gagnon mentioned that the company has uncontracted capacity for 2027 within the service area of PJM, the U.S.'s largest regional electric system operator.
During the quarter, Keel secured zoning approvals for its Panther Creek and Sharon sites, welcomed the first Vertiv modules at Moses Lake, and appointed Ganesh Iyer as president. In Canada, Keel made progress with Hydro-Sherbrooke on a conditional transfer of 96 MW of existing capacity and acquired land for a new data center.
On August 10, Keel's stock on Nasdaq experienced a decline of over 12%.
