Huge bitcoin mining farm discovered at ferroalloy plant controlled by Ukrainian oligarch

There are allegedly 15,000 computers for bitcoin mining at the Zaporozhye Ferroalloy Plant, controlled by Ukrainian oligarch Igor Kolomoisky. The farm of such capacity can mine up to 80 BTC per month.

Investigative reporters from Radio Svoboda found out that approximately 2,600 Bitfury mining machines from Georgia as well as 12,500 Bitmain processing machines and power units from China were delivered to the Zaporozhye Ferroalloy Plant (ZFP) since the beginning of 2021. According to the report, the equipment for BTC production worth approximately $27 million was delivered to the plant in 2021.

The equipment was supplied from Georgia via the Georgian Manganese Company, also controlled by Igor Kolomoisky, which operates a mining farm in Georgia with mining equipment worth $ 50 million.

The investigation notes that the mining farm at the ferroalloy plant at Ukraine can receive electricity at reduced rates. In December 2020, United Energy LLC, which is also associated with Kolomoisky, signed a contract with Energoatom-Trading, a division of Ukrainian energy company Energoatom. The contract grants supply of a large volume of electricity at a lower price of 1,15 UAH per kW/h with a standard price being at 1.4 UAH per kW/h. This auction is currently being studied by detectives from the National Anti-Corruption Bureau (NABU). Investigators believe that Energoatom could have lost income of more than $159 million due to such a contract.

According to the estimates of journalists, the mining farm at the Zaporozhye Ferroalloy Plant can produce up to 80 BTC per month ($4 million).

The ZPF management does not deny that the plant houses computing equipment for mining, but states that it has not yet been put into operation. “We somehow installed it, but we still do not have the opportunity to launch it, because the equipment needs to be prepared to be launched,” said the head of the ZPF Pavel Kravchenko.

This is already the third crypto-farm that journalists link to Igor Kolomoisky. Apart from the ferroalloy plant in Ukraine and mining farm in Georgia, journalists found a cryptocurrency mining farm at Igor Kolomoisky’s steel plant in Kentucky, USA.


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