Exxon Testing a Program to Use Leftover Natural Gas for Bitcoin Mining

Exxon Mobil, one of the largest publicly traded oil and gas companies, is testing a program, that will power crypto-mining operations with the use of leftover gas that would otherwise be burned off from wells. 

The company has signed a deal with Crusoe Energy Systems to use gas from the Bakken shale basin in North Dakota in order to power bitcoin mining services on site. 

The program started in January 2021 and ramped up in July, with 18 million cubic feet of gas per month powering crypto mining. Exxon is also considering expanding it to more locations, including Germany, Guyana, Argentina, and Nigeria. 

The program is similar to a move by rival ConocoPhillips, which confirmed last month that it is selling extra natural gas to crypto miners in North Dakota instead of burning it. 

Large oil drillers burn gas on a regular basis during oil drilling if there is no pipeline to transport the goods nearby. Shale oil, in particular, produces large amounts of excess natural gas, many of which are normally burned.

Meanwhile, crypto miners are looking for alternative, cleaner-burning options to power crypto mining, which needs vast amounts of energy.