"Everything Miners Want to Know About Electricity" | WuShuo Unencrypted Dialogue Episode 1: Yang Maohua

Although all projects brand themselves as 'compliant hydropower consumption industry demonstration zones,' there are in fact substantial differences among them—for example: grid connection methods (some connect directly at the power plant’s generator terminals rather than via State Grid); project status (projects backed by government investment promotion versus those lacking official endorsement); construction sites (standard industrial park land versus remote, non-designated rural land); transportation conditions (one-hour versus over ten-hour drive from Chengdu); regulatory compliance (some possess all dozens of required permits, while others hold only a few—or even lack basic hydropower consumption eligibility); construction standards (IDC-like data center standards, general standards, or informal ‘wild mining farm’ standards); electricity procurement difficulty (some have secured power supply, others may not obtain sufficient electricity); electricity cost (costs vary widely—up to roughly RMB 0.05 per kWh); and power supply readiness (some already connected to State Grid; some use direct supply; some remain unconnected; some cannot be connected at all)... Although the high-water season has yet to begin, Sichuan’s mining sector—especially compliant mining farms within hydropower consumption demonstration zones—has already started operations ahead of schedule. Even during the dry season, when State Grid electricity tariffs for end users approach RMB 0.60/kWh or higher, stable mining farm slots within consumption zones remain in short supply amid an electricity shortage driven by large-scale relocations of mining rigs from Inner Mongolia and surging demand for托管 (hosting) newly delivered rigs. Miners now consider slightly higher electricity costs acceptable—as long as supply remains stable—deeming reliable power far preferable to no power at all. This early trend reflects this year’s favorable market conditions: strong returns and relatively low electricity cost占比 (share of total expenses), foreshadowing Sichuan’s mining landscape during the upcoming high-water season—characterized by miners’ 'price-insensitivity but stability-sensitivity' and an industry structure where 'high-quality farms thrive while subpar ones starve.' This is, in fact, a healthy, normal industry evolution—not the previous 'bad money driving out good' scenario. In terms of marketing and leasing, mining farms differ markedly in both ease of attracting tenants and offered electricity pricing tiers: Tier 1 comprises State Grid-connected, fully compliant, operational mining farms located in convenient locations with stable power supply—all largely pre-leased, with hosting tariffs rising approximately RMB 0.05/kWh (or more) year-on-year (though average annual hydropower consumption trading purchase costs also rose by about RMB 0.01–0.02/kWh, potentially increasing further in month-end trading); Tier 2 includes under-construction, remote-zone consumption zone farms with remaining capacity, priced roughly RMB 0.01–0.02/kWh lower than Tier 1; Tier 3 consists of reputable direct-supply power station farms in relatively accessible areas, partially leased, priced about RMB 0.03–0.04/kWh lower than Tier 1; Tier 4 covers poorly located, low-reputation, substandard direct-supply farms—likely facing significant leasing challenges. Ultimately, several variables will influence leasing difficulty and hosting tariffs: (1) construction progress and electricity procurement status of compliant Sichuan consumption zone farms; (2) the intensity of crackdowns and clean-up efforts by Sichuan provincial authorities and State Grid against direct- or indirect-supply mining farms; (3) Xinjiang’s policy stance and enforcement measures toward coal-fired mining farms; and (4) cryptocurrency price trends and new rig delivery volumes. What lies ahead for the relationship between electricity and mining in Sichuan over the coming years? Southwest China’s installed hydropower capacity approaches 300 GW—but this clean energy resource has not been fully leveraged, resulting annually in hundreds of billions of kilowatt-hours of curtailed hydropower. The advancement and construction of Sichuan’s Hydropower Consumption Industry Demonstration Zone effectively addresses this challenge. Globally, the blockchain industry’s total electricity demand stands at approximately 15 GW—roughly equivalent to the national electricity consumption of many small countries, or comparable to the installed capacity of a single Baihetan Hydropower Station.

HK Stock Market Movement | Sunshine Oil Sands (02012.HK) Rises Another 30%; Weekly Gain ~95% as Core Production Project Resumes Operations

According to Zhitong Finance APP, Sunshine Oil Sands (02012.HK) continued its sharp rally, with its intraday gain widening to 32% at noon. Since the start of this week, its share price has surged 94%. Recently, the company announced that its oil sands project—shut down for approximately two years—is set to resume production. Consequently, the company’s crude oil sales revenue is expected to recover. As of press time, Sunshine Oil Sands rose 31.94%, trading at HK$9.50, with a turnover of HK$15 million. On March 8, Sunshine Oil Sands (02012.HK) updated its business progress, stating that preparatory work for resuming production at its West Ells project has been completed, and commercial production is expected to commence shortly. Previously, due to local pandemic impacts in Canada, the company announced a temporary suspension of operations at West Ells effective March 31, 2020. Thereafter, the project remained offline. Last September, the company projected that West Ells would resume production on or before December 30, 2021. The shutdown resulted in zero crude oil sales revenue and persistent negative operating net cash flow.

Sunshine Silver Updates Operational Readiness at Sunshine Mine

Oct 19, 2026

Sunshine Silver Mining & Refining Company is advancing operational readiness at its Idaho mine, targeting production resumption by late 2028. Infrastructure upgrades and feasibility studies are underway to support this long-term recovery plan.

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