HIVE Digital Technologies Ltd. announced its plans for constructing a 100 megawatt ("MW") digital asset mining operation in Paraguay. After touring the country and meeting with President Santiago Peña and his senior cabinet ministers, HIVE endorses his vision for a business-friendly Paraguay. Stability in government fiscal policies, such as energy pricing and taxation, will be a key factor in future expansion considerations relating to continued growth in Paraguay. Infrastructure projects such as data centers require significant foreign direct investment and a large scale project, such as a 100 MW data center, is expected to generate over $100 million of stable U.S. dollar revenue for the Government's utility company over the next three years. With global demand for Bitcoin on the rise, and the successful launch of U.S.-based ETFs Bitcoin has become adopted and emerges as an attractive alternative asset for investors. In Paraguay, HIVE will offer its experience and expertise in grid balancing and demand response to support continued industrial development, while monetizing surplus or under-monetized power assets. Additionally, as the Company's energy bills will be paid in U.S. dollars, its operations in Paraguay offer a unique opportunity for the government by providing stable monthly U.S. dollar income, acting as a strategic currency hedge, and ensuring financial stability in an increasingly volatile global currency market. In 2023, electricity exports constituted approximately 13.2% of Paraguay's total exports. Executive Chairman Frank Holmes, Chief Operating Officer Luke Rossy, Hive Sweden Country President Johanna Thornblad, and General Legal Counsel Gabriel Ibghy were on the initial scoping trip to Paraguay. Frank Holmes added that both Johanna and Gabriel speak Spanish and together have
experience navigating cultural and business landscapes in Latin America.