Bitdeer signs $4.7B Norway AI data center lease as miners pivot

Bitdeer Technologies Group signed a 16-year lease valued at up to $4.7 billion to convert its Tydal, Norway, mining facility into an AI data center, one of the largest infrastructure deals by a crypto miner.

The tenant is Volta Tydal AS, a subsidiary of Nvidia-backed Volta Infra. Bloomberg News reported that Volta's $10 billion cloud contract is with Anthropic, citing people familiar with the matter, though Bitdeer did not confirm the end customer. Dell Technologies will serve as technology provider, with the facility configured for Nvidia GPU-based AI workloads.

The lease covers 121 MW of IT capacity backed by about 133 MW of gross power, with an average rate of approximately $202 per kW-month and 3% annual escalators. Electricity costs are reimbursed by the tenant. An eight-year renewal option could raise total contract value to about $8 billion over 24 years, though Volta retains a no-fee termination right after 10 years.

The deal converts Bitdeer's Norwegian power footprint into contracted revenue at a time when Bitcoin miners are diversifying beyond hash-rate economics. Bitdeer shares rose about 8% in early Nasdaq trading, with BTDR near $11.37.

Tydal conversion and delivery schedule

Bitdeer hired Data Center Installations AS in March to convert Tydal into a 180 MW gross facility built around Nvidia reference designs. The Volta contract uses 133 MW of that planned capacity, delivered across four data halls in two equal phases. Phase one targets completion by Dec. 31, 2026, with phase two following on March 31, 2027. Two additional halls totaling 47 MW are earmarked for potential AI and HPC customers in the second half of 2027.

The site is designed for an estimated PUE of 1.1 and will run on renewable Norwegian power, including local hydropower. Bitdeer retains full ownership of the campus and issued no shares or warrants in connection with the transaction.

Financing, credit support and economics

Volta's payment obligations are expected to be backed by approximately $1.3 billion in letters of credit arranged by affiliates of J.P. Morgan and another unnamed global financial institution. The arrangements remain subject to customary conditions, and Bitdeer may terminate the agreement if Volta misses specified credit-backstop milestones.

Bitdeer estimates approximately $500 million of remaining capital expenditure, or about $4 million per contracted IT MW. The company plans to raise additional debt for Tydal and its broader infrastructure program, with management expecting the project financing to provide excess capital for other AI and HPC developments. Financing terms were not disclosed.

Management projects average annual revenue of approximately $2.4 million per IT MW and a net operating income margin of roughly 90 percent. Those figures are company projections rather than GAAP revenue or operating profit, and the NOI calculation excludes corporate overhead, depreciation and financing costs.

Strategic context and treasury strategy

The deal advances Bitdeer's broader diversification beyond Bitcoin mining. The company has been expanding its mining hardware manufacturing operations, including a $36 million investment in a Nevada facility announced last month. Bitdeer also fully liquidated its Bitcoin treasury earlier this year, reducing holdings from roughly 943 BTC to zero to fund its expansion strategy.

That approach contrasts with several major mining peers. MARA Holdings, Riot Platforms, CleanSpark and Hut 8 each hold at least 10,000 BTC, with MARA exceeding 36,000 BTC, according to BitcoinTreasuries.NET.

Bitdeer reported $188.9 million in first-quarter revenue, a $159.5 million net loss and $297.7 million in cash and restricted cash at March 31, with borrowings near $1.9 billion. The company will report second-quarter results on Aug. 10, with investors watching for financing details, construction progress and when Tydal revenue can begin entering reported results.

The lease remains subject to customary closing conditions and is not yet effective. Completion of the credit support, project debt raising and on-schedule delivery of both phases are the remaining milestones before the contracted revenue stream materializes.

This article is for informational purposes only and does not constitute investment advice.