Following prior delays due to supply chain issues, Hatten Land announced its first shipment of crypto mining machines with partner Frontier Digital Management on Tuesday (Jan 11).
Before the market opened, the Malaysian property developer stated in a bourse filing that the rigs, which would mine Bitcoin, would begin operations this month following delivery and installation.
Hatten Land noted in response to questions from the Securities Investors Association (Singapore), or Sias, on Dec 30, 2021, that the latest strengthening of border control policies as a result of Covid-19 contributed to the delay in the delivery of the cryptocurrency mining rigs by causing a halt in the deployment of technical staff from Singapore to Malacca.
The business claimed in a recent filing that it sent its technical team from Singapore to Malacca on January 5 to join and manage the ground team there in preparation for the crypto mining machine installation and operation.
The company anticipates that its agreement with Frontier Digital would boost its net assets and financial performance for the fiscal year ending June 30, 2022.
After subtracting corresponding operating and administration fees, the net revenues of the mined cryptocurrency will be split between the two firms.
Frontier Digital is a digital asset management technology firm that manages crypto mining assets for institutions and individual investors.
Frontier will build, operate, manage, and maintain at least 1,000 crypto mining equipment at Hatten Land sites in Malacca, according to the deal’s conditions. The rigs will be operational around the clock, including holidays and weekends. They will mine Bitcoin first, with other currencies being explored in the future.
Hatten Land’s properties will now have a total of 3,000 crypto mining rigs, thanks to the agreement with Frontier Digital.
At 9.32 a.m. on Tuesday, shares of Catalist-listed Hatten Land were trading at 4.9 cents, up 0.2 cents or 4.3 percent, after the news.