Bitcoin miner Hut 8 has announced a significant development, securing a five-year capacity contract with Ontario's Independent Electricity System Operator. This contract, which guarantees Hut 8 310 megawatts of natural-gas generation, aims to provide the firm with a reliable revenue stream amidst expected growth in Ontario's electricity demand. In its first year, the plants under this deal are set to earn an average of CAD $530 per megawatt-business day, with provisions for partial inflation indexation. Additionally, American Bitcoin Corp, which Hut 8 partly owns, has raised $220 million to expand its operations. Following the announcement, Hut 8's shares surged over 15%, positively impacting the broader mining sector, including companies like Cleanspark, MARA Holdings, and Riot Platforms, which saw gains of nearly 10%. Ontario's forecast predicts that electric demand could increase by 75% by 2050, indicating the importance of such energy contracts for future operations.

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