Union Jack Oil, a publicly traded UK vitality firm, has introduced plans to transform pure gasoline from its West Newton web site into electrical energy to energy Bitcoin mining, marking what may turn into one of many nation’s first “oil-to-crypto” monetization tasks.
The transfer may generate early money circulate from wells that may in any other case stay undeveloped, the corporate mentioned on Thursday in an operations report.
The venture is being pursued in partnership with Rathlin Vitality and Texas-based 360 Vitality, which focuses on turning stranded or flared gasoline into energy for on-site knowledge facilities.
Beneath a non-binding letter of intent, the businesses goal to deploy 360’s In-Area Computing expertise to start mining Bitcoin immediately on the West Newton A web site, topic to regulatory approvals.
If profitable, the brand new venture may additionally result in Union Jack “introducing a brand new Bitcoin Treasury technique,” based on Govt Chairman David Bramhill.
West Newton: Found however nonetheless undeveloped
Union Jack Oil acquired its stake in West Newton in 2019, after operator Rathlin Vitality struck gasoline on the web site. Additional drilling within the following years positioned it among the many largest onshore gasoline discoveries within the UK.
Nonetheless, the positioning stays on maintain on account of planning delays and regulatory uncertainty, which have slowed the event of infrastructure wanted to deliver the gasoline to market.
“Regulatory uncertainty has unduly hampered progress,” Bramhill mentioned, saying that tasks like West Newton have suffered from a notion drawback regardless of their industrial attraction.
As a substitute of ready for full-scale approvals and infrastructure, Union Jack plans to make use of the gasoline on-site to energy Bitcoin mining rigs, producing early income with out counting on conventional growth timelines.
“Onshore builders and producers have been compelled to suppose outdoors the field to make progress and ship development,” Bramhill mentioned. He described the proposed Bitcoin mining enterprise as “revolutionary” and providing “sturdy scope for a sustainable return.”
A shift in how vitality is monetized
Union Jack Oil’s mining initiative is a part of a broader shift in how vitality corporations take into consideration underused sources. Many oil and gasoline corporations are experimenting with Bitcoin mining to monetize stranded or flared gasoline that may in any other case be wasted.
The mannequin is to transform gasoline into electrical energy on-site and use it to energy mining rigs, avoiding the delays and prices of connecting to grids or constructing pipelines. Specialised suppliers like 360 Vitality and Crusoe have been engaged on making this method modular and scalable.
The technique is being deployed elsewhere. Within the US state of North Dakota, ConocoPhillips launched a pilot program to produce extra gasoline to Bitcoin miners somewhat than flare it.
In Argentina, oil agency Tecpetrol started utilizing leftover gasoline from its drilling operations to run mining rigs after dealing with limits on how a lot it may launch into the surroundings.
And in June 2025, Canadian firm AgriFORCE launched an operation in Alberta that harnesses stranded pure gasoline to energy 120 Bitcoin mining rigs, with plans to increase to 2 extra websites.
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