Hut 8 Corp. announced on July 2, 2025, that its four natural gas-fired power plants in Ontario, totaling 310 MW of nameplate capacity, have been awarded five-year capacity contracts with the Ontario Independent Electricity System Operator (IESO). These contracts, secured by Far North Power Corp., a joint venture involving Hut 8, will commence on May 1, 2026.
The contracts include a weighted average capacity payment of approximately CAD $530 per MW-business day in Year 1, with partial inflation indexation allowing for potential increases over time. This agreement provides Hut 8 with predictable, long-term revenue streams from its power assets, enhancing financial stability.
This milestone underscores the commercial and regulatory expertise of Hut 8's power-native team and its proactive approach to portfolio management. The contracts position the Far North power plants for long-term relevance in a capacity-constrained power market, demonstrating the value of Hut 8's vertically integrated energy infrastructure strategy.
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