Tyler Page: Yeah. So that’s a great question and I’m optimistic that in the future when we are operating at full scale throughout a quarter, we’ll be able to drill down with more specificity on that. So with electricity, it’s pretty straightforward, right? We can take a monthly bill and we can look at how many Bitcoin we produced and it’s division. On operations, I’ll tell you how we think about it overall at the company level. We try to leverage technology to drive efficiency. And this is one of the great benefits we had of — rather than sort of incrementally scaling up as a minor, we sort of came public with a big plan to build scale. And so starting from a blank sheet of paper, we’ve architected a firm that generally has fewer people and fewer better people and leverages technology.
And so I think what you’ll see is in the future parallel with our low energy costs, you’ll see low overall OpEx costs to match with that. But keep in mind electricity is sort of in my mind the big variable. Even if we are the most efficient at the other OpEx the thing that really drives the overall cost economics is the electricity price.
Reggie Smith: Understood. That’s good color. Thank you.
Tyler Page: Thanks, Regi.
Operator: Our next question comes from John Todaro from Needham. Please go ahead. Your line is open.
John Todaro: Great. Thanks for taking my question. Congrats on the quarter. First question, so with Odessa getting a little bit further built out here, is the G&A spend is that kind of already in place? Should we be taking that Q4 number and thinking it holds at least for the first half of 2023?
Ed Farrell : I can take that. Hi, John. How are you? Yes, we — as Tyler said, we — from a personnel perspective, I think, at this point in time, we don’t see a tremendous increase in headcount for 2023. And some of our early company expenses, I think have been put behind us and just starting to level out more. So I think if you look at the last two quarters, you could use that as a reasonable run rate into 2023.
John Todaro : Got it. Okay. Great. And then
Ed Farrell : Is that helpful?
John Todaro : Yes, that is. I appreciate that. And then the second question. So, on the potential Alborz expansion, I believe that’s the lowest power cost in the portfolio. Any expansion there? Could you just give us some more color on what those power contracts would look like today?
Tyler Page : So, it’s a little bit early. I think we wanted to put it on there to include it, because it is within the portfolio, but you will note that we don’t have any of that marked for 2023. What we are exploring there is adding a grid connection. And so recall that Alborz operates as an off-the-grid wind farm only. And so when the wind blows, we mine and you can see why it’s so attractive, because the electricity price is so low there. But of course, when the wind doesn’t blow, our machines are not hashing. And also it is a 40-megawatt facility from a data center perspective, but it is co-located with 165-megawatt wind farm. And so theoretically, we can go get a grid connection. There are some structuring hurdles and some things we need to go through.
We need to map out the approvals process, et cetera. But what we would be doing then is adding the potential for 100% uptime there and also expansion. Now from a cost perspective, we would be buying that power front of the meter, right? We’d be buying it from the grid. So that would be the market price unless we opportunistically put in place a financial hedge. So, hard to forecast, but the point is it would be a floating price at least in as much as we’re buying from the grid directly.
