Green Minerals to Raise $1.2 Billion for Bitcoin Treasury Initiative

Green Minerals, a Norwegian mineral mining firm, plans to invest $1.2 billion in establishing a Bitcoin treasury. The company aims to buy its first Bitcoin soon, aligning with their strategy to integrate blockchain technologies. However, despite the ambitious plans, there was a sharp decline in their stock price after the announcement, amidst broader discussions in Norway regarding mining operations and energy usage.

Green Minerals, a Norwegian mineral mining company, has made headlines this week with plans to establish a Bitcoin treasury. The firm, which is traded on the Euronext Growth Oslo exchange, announced that it and its partners are looking to invest as much as $1.2 billion to kickstart this venture.

According to the company’s statement, they aim to purchase their first Bitcoin within the “next few days,” indicating a proactive approach toward blockchain integration as part of their broader investment strategy. Executive Chairman Ståle Rodahl highlighted the allure of Bitcoin, noting its decentralized and non-inflationary attributes as a compelling alternative to traditional currencies.

Rodahl stated, “By integrating a Bitcoin treasury strategy, we are not only mitigating fiat risks but also reaffirming our commitment to financial innovation and the sustainable creation of long-term value.” While this might seem like a shift for the company, they assured investors that their core operational strategy remains intact and that the new Bitcoin initiative will enhance the company’s project plans.

Furthermore, Green Minerals expressed confidence in blockchain technology’s potential to play a crucial role in the mining industry, particularly for supply chain transparency, certifying mineral origins, and boosting operational efficiency. Decrypt reached out to the company for more details but did not receive an immediate reply.

Currently, approximately 245 publicly traded companies have invested in Bitcoin, reflecting a 13% increase from the previous month. These firms collectively hold more than $88 billion worth of Bitcoin, according to data from bitcointreasuries.com—a significant market presence.

The Bitcoin acquisition strategy finds its roots in the approach pioneered by Michael Saylor’s firm, which was formerly known as MicroStrategy. Saylor’s company famously amassed over 592,300 Bitcoins, valued at more than $62 billion, showcasing the potential advantages of such investment strategies.

Moreover, other publicly traded firms like Upexi and Wellgistics Health have taken a similar route, diversifying their holdings with altcoins such as XRP and Solana. Rodahl emphasised that Green Minerals’ approach is particularly aligned with its long-term project horizons. The Bitcoin treasury is viewed as a strong shield against potential currency debasement while the company engages in significant future capital expenditures for production.

However, the market reaction to Friday’s announcement wasn’t as optimistic—Green Minerals’ stock price plunged nearly 35% on the day. Compounding concerns, the Norwegian government previously halted deep sea mining operations last year and is reportedly reconsidering plans to offer permits in 2025.

In an additional note, last week, Norway’s Labour government expressed intentions to investigate a temporary ban on new, energy-intensive crypto mining due to concerns about energy usage, suggesting that alternative uses for the power might be better utilised, such as for community data centres.