Hut 8 (HUT) has agreed to make 310 MW of its gas-fired generation ready for Ontario’s grid under five-year contracts with the province’s grid operator, the Independent Electricity System Operator (IESO). The arrangement will guarantee steady payments backed by the Ontario government to Hut 8.
Under the agreements–which kick off next year in May 2026–the Iroquois Falls, Kingston, Kapuskasing and North Bay plants will each receive CAD $530 per “MW-business-day” they’re available, with modest inflation adjustments over time. In short, Hut 8 gets paid simply for keeping the power on standby, rather than facing the ups and downs of selling electricity at spot-market prices.
By locking in an “investment-grade” counterparty in the Ontario government, Hut 8’s Power segment gains predictable, subscription-like cash flows.
Beyond energy generation, Hut 8 has built an integrated platform that includes HPC and bitcoin mining, with more than 1 GW of total energy capacity across 15 North American sites.
Earlier this summer, Hut 8 doubled its Bitcoin-backed credit facility with Coinbase from $65 million to $130 million at a fixed 9.0% rate, tapping its growing BTC holdings for non-dilutive funding.
Read More: Hut 8 energizes 205 MW ‘Vega’ data center
At time of publication, HUT is up 11.5% from yesterday’s close.
