Canaan ($CAN) To Turn Flared Gas To Computing Power In Pilot

In a transfer that mixes vitality innovation with digital infrastructure, Canaan Inc. broadcasts the launch of a pilot mission in Calgary, Alberta, designed to transform stranded or flared pure gasoline into energy for Bitcoin mining and high-performance computing.

The initiative, developed in collaboration with Aurora AZ Power, marks a step for Canaan, because it explores how waste gasoline – usually burned in distant sources – can as an alternative gasoline computing energy immediately on the supply.

The pilot will set up $2 million price of Avalon A15 Professional miners and modular knowledge facilities at wellheads, delivering roughly 2.5 megawatts of computing capability with 90% assured uptime.

Canaan shares began within the inexperienced and are at present up 22% to $1.33 per share following the information.

At its core, this ‘gas-to-compute’ system is an experiment in effectivity: utilizing off-grid vitality that might in any other case pollute to energy one of many world’s most energy-hungry industries. Canaan estimates that the mission will forestall as much as 14,000 tons of CO₂ equal emissions yearly by capturing flared gasoline and changing it into electrical energy.

“This initiative represents an essential step in demonstrating how computing infrastructure can evolve alongside vitality innovation,” stated Canaan CEO Nangeng Zhang. “By integrating native pure gasoline era with our modular methods, we convert beforehand wasted assets into productive vitality.”

From flared gasoline to Bitcoin mining and AI innovation

Flared gasoline – pure gasoline launched and burned as a byproduct of oil extraction – stays a major environmental problem, particularly in energy-rich areas like Alberta.

In accordance with the Alberta Power Regulator, greater than 900 million cubic meters of gasoline have been flared in 2024 alone. The Canaan-Aurora mannequin goals to show that drawback into a chance, creating what Aurora CEO Jing Shan Zhou calls a “scalable framework” for changing flared or stranded gasoline into computing energy, based on the corporate’s press launch.

Past Bitcoin mining, Canaan foresees broader software of this mannequin in powering AI and high-performance computing workloads – sectors that face rising strain to search out cheaper, cleaner vitality sources.

As hyperscale knowledge facilities improve world vitality demand, native vitality era like this might present another path to sustainable scaling.

Throughout downtime or grid curtailments, Canaan will even profit by promoting extra energy again to the grid via demand response applications, the corporate stated.