Bitdeer, a bitcoin mining operator, signed a $4.7 billion multi-year lease for data center infrastructure in Norway to scale AI compute capacity, pivoting from cryptocurrency to HPC/AI workloads.
Bitdeer is making one of its biggest moves beyond Bitcoin mining. The company has signed a 16-year, $4.7 billion lease agreement to transform its Norway facility into a large artificial intelligence (AI) and high-performance computing (HPC) data center. The deal has already pushed Bitdeer's stock up by 23%, demonstrating strong investor confidence in its new AI strategy.
Under the long-term agreement with Volta Tydal AS, Bitdeer will develop an AI and HPC campus in Tydal, Norway. Rather than using the site primarily for Bitcoin mining, the company will now provide data center space powered by renewable energy to support AI computing. If Volta exercises an option to extend the contract for another eight years, the total contract value could reach $8 billion.
Bitdeer will continue to own the property while earning steady income from the lease. Chief Financial Officer Michael G. Potter stated, "This agreement is a key milestone in Bitdeer's evolution as a global AI infrastructure platform," and noted that the project will help bring large-scale AI infrastructure to both Norway and Europe.
The new campus will feature 121 megawatts (MW) of IT capacity, supported by approximately 133 MW of total power. The facility is being designed to run advanced NVIDIA GPUs, with Dell Technologies providing the primary hardware infrastructure. The campus will operate entirely on renewable hydropower from Norway and is expected to achieve a Power Usage Effectiveness (PUE) of around 1.1, positioning it as one of Europe's most energy-efficient AI data centers. Excess heat from the data center will be recycled to support nearby agricultural operations.
Financially, the structure provides Bitdeer long-term income with limited risk. The company expects an average lease rate of approximately $202 per kilowatt monthly and projects a 90% net operating income margin, with electricity costs fully covered by tenants. Volta's financial commitments are backed by about $1.3 billion in letters of credit arranged through J.P. Morgan and another major global financial institution.
Volta recently emerged from stealth mode with a $2.4 billion valuation, backed by investors including Andreessen Horowitz (a16z), NVIDIA, Altimeter, and Azora. This deal reflects a broader industry trend, with Bitcoin mining companies increasingly expanding into AI infrastructure where long-term contracts can provide more stable revenue than mining alone. The announcement comes after Bitdeer last month invested $36 million in a new Nevada facility to produce its own mining hardware rather than depend on outside suppliers.