Hatten Land’s subsidiary Hatten Technology has entered a deal with Frontier Digital Asset Management to mine bitcoin with at least 1,000 cryptocurrency mining rigs from the group’s properties in Malaysia, the company said in a filing to SGX Wednesday.
The Catalist-listed company had recently announced it would re-purpose its Melaka retail malls for digital services, such as cryptomining and e-commerce, taking advantage of existing infrastructure and Malaysia’s lower energy costs. Hatten Land said it planned to install solar panels on the malls so the operations would be more energy efficient and “green.”
An agreement has been signed with Bursa Malaysia-listed Nestcon to install solar panels on the roof at some of its Melaka properties, the filing said.
The Hatten Group conglomerate, Hatten Land’s parent company, operates six retail malls in Melaka, with more than 6 million square feet, the filing said.
“Hatten Land is re-purposing its extensive mall footprint as part of a broader strategy that includes blockchain activities, online-to-offline commerce and renewable energy. We believe this agreement will augur the transformation of Hatten Land’s assets into a hub for blockchain and other digital activities that will contribute to the growth and transformation of Melaka,” Colin Tan, executive chairman and managing director of Hatten Land, said in the statement.
Frontier, which currently operates more than 700 cryptocurrency mining rigs in Singapore, will install and operate at least 1,000 cryptomining machines at the Melaka properties, with plans to operate around the clock including holidays and weekends, the filing said.
The agreement is for Frontier to work with Hatten Technology exclusively in Melaka, with both parties having a right-of-first-refusal for any cryptocurrency activity outside Melaka, but within Malaysia, the filing said.
Bitcoin will be the initial focus, but alternative coins will be considered ahead, Hatten Land said.
Installation of the cryptocurrency mining rigs will begin in the fourth quarter and proceed in phases, the filing said.
Frontier, founded by Bryan Zhou and two other National University of Singapore business undergraduates, focuses on cryptocurrency mining, blockchain ecosystem and digital asset generation.
Recently, Hatten Land entered a memorandum of understanding with Singapore Myanmare Investco to acquire up to 2,000 cryptocurrency mining rigs, which will bring its total to 3,000 rigs at its properties, the filing Wednesday said.
Melaka-based Hatten Land is a Malaysian property developer, specialising in integrated residential, hotel and commercial developments; it is the property development arm of property-to-retail-to education conglomerate Hatten Group.