DMG signs 50 MW AI colocation LOI for Christina Lake bitcoin mining site

Blockspace Staff

Mon, June 1, 2026 astatine 8:51 AM CDT 3 min read

DMG Blockchain Solutions (TSX-V: DMGI) announced Monday a signed a missive of intent to supply 50 megawatts of captious IT load for AI information halfway colocation services to a azygous tenant astatine its Christina Lake, British Columbia facility. The tract presently operates chiefly arsenic a bitcoin excavation and would modulation to AI colocation lone if the parties scope a definitive agreement.

The tenant is unnamed and nether a non-disclosure agreement. DMG said the tenant volition supply an investment-grade backstop for review. The LOI is non-binding extracurricular of a 12-month right-of-first-refusal term, NDA conditions, and non-circumvent provisions, and DMG said determination is nary warrant a definitive statement volition beryllium reached.

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If a last woody is signed, the archetypal word would beryllium 12 years, with renewal rights for up to 3 further five-year periods. DMG said it plans to present capableness successful phases, targeting first-phase transportation by December 31, 2026. The LOI includes monthly recurring charges and yearly escalations astatine what DMG called “current marketplace rates for AI colocation.” The institution said it would usage indebtedness arsenic the superior method of financing for the conversion if a definitive statement is concluded.

The LOI is DMG’s archetypal announced commercialized measurement successful a strategy it outlined successful December 2025, erstwhile it said it believed the champion way to monetize Christina Lake was converting the tract into a “world-class 50-megawatt captious IT load liquid-cooled AI information center.” That update besides withdrew the company’s year-end hashrate people of 3 EH/s and signaled that mining would yet migrate distant from the site.

In March 2026, DMG said it had received verbal inferior support for an further 10 MW of non-firm power, bringing Christina Lake’s full disposable capableness to 75 MW, divided betwixt 15 MW of steadfast powerfulness and 60 MW of non-firm power. The institution was besides exploring a earthy state transmission enactment connected the spot for backup oregon superior generation, and said it saw imaginable to grow good beyond 50 MW of captious IT load. The spread betwixt 75 MW of disposable tract powerfulness and 50 MW of captious IT load reflects the overhead needed for cooling and different non-compute infrastructure.

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CEO Sheldon Bennett said successful the December update that DMG was “highly focused connected maximizing its instrumentality to shareholders that tin beryllium unlocked by enabling Christina Lake arsenic a solely dedicated AI information center.”