Power Systems Unveils Alternative Mining Solutions Amidst Energy Restrictions in Russia

In 2024-2025, several regions in Russia implemented restrictions on electricity use for cryptocurrency mining. In April, the Russian government issued a decree banning all mining activities in the southern part of the Irkutsk region until 2031. The Ministry of Energy of the Russian Federation plans to extend similar measures to the Zabaykalsky Krai and Buryatia.

Alongside these regional restrictions, mining activities were officially legalized in Russia in 2024. However, this legalization did not resolve the issue of high electricity costs for traditional mining operations.

Pavel Volkov, a founder of the company «Sila Systems,» stated that under the current circumstances, generating energy autonomously using natural or associated petroleum gas is becoming a viable solution.

Gas reciprocating and gas turbine installations convert the energy produced from burning gas into electricity right at the mining site or near the supply point. The electricity generated is then used to power mining equipment.

«Sila Systems» is developing energy centers based on these technologies specifically for mining, referred to as «crypto plants.»

*»The establishment of self-generating power facilities is increasingly viewed by market participants not merely as an alternative, but as a strategic solution. This approach allows for control over electricity pricing and significantly reduces dependency on external regulatory influences,»* comments Pavel Volkov.

The primary advantage of this approach is its independence from any restrictions placed on consumption from the main electricity grids. As gas energy centers generate electricity independently and do not draw power from regional networks, they are not subject to the regulations aimed at alleviating stress on centralized grids.

*»This ensures uninterrupted operation of mining equipment 24/7 without the risk of sudden outages or forced power limitations,»* asserts Volkov.

In addition to circumventing regional bans, the cost of Bitcoin mining can potentially decrease by up to 40% compared to traditional data centers that rely on grid electricity.

*»This is made possible due to significantly lower electricity costs. The price for 1 kWh generated from proprietary gas production is approximately 3.80 rubles, which is 1.5 to 2 times lower than the industrial tariffs of 5-8 rubles per kWh and higher,»* claim representatives from «Sila Systems.»

These conditions allow «crypto plants» to demonstrate annual returns of 44% and ensure investment payback within 23 months.

The company offers comprehensive turnkey solutions, covering everything from design to installation and maintenance. A «crypto plant» comprises gas generator units, mining rigs, cooling systems, and monitoring setups.

*»This is a completely autonomous business tailored for you. You will receive a ready-made infrastructure, a transparent income model, and profit from day one. We collaboratively select an appropriate model, identify a site, handle the documentation, deliver the equipment, and launch the operation,»* the company emphasizes.

«Sila Systems» is the official dealer for Weichai Group in Russia, a global leader in gas engine manufacturing, which provides access to technologies at special prices.

The company has already implemented 13 projects across Penza, Orenburg, and Saratov regions, as well as in Khanty-Mansi Autonomous Okrug and Yamalo-Nenets Autonomous Okrug. By 2028, the project team aims to reach a total capacity of 1 GW for their «crypto plants» and pursue an initial public offering (IPO).