By Will Feuer


Cryptocurrency mining company BitNile Holdings Inc. said it has formed a strategic partnership and made an investment into Ecoark Holdings Inc., a holding company engaged in oil-and-gas exploration, production and drilling operations.

BitNile subsidiary Digital Power Lending LLC has agreed to buy $12 million of convertible preferred stock of Ecoark to be paid no later than June 29.

Ecoark said it intends to deploy significant proceeds toward an oil-drilling program across. Ecoark said it will deploy additional proceeds to provide BitNile with up to 78 megawatts of power in Texas for cryptocurrency mining capacity.

The deal is subject to BitNile proceeding with the facility after conducting due diligence, the companies noted.

"I feel that there are significant synergies between BitNile and Agora Digital where our cache of digital asset miners and Agora's power capacity at extremely low power rates can expedite both businesses' expansion and market share in the digital asset sector," BitNile Chief Executive William Horne said.

Agora Digital Holdings is a subsidiary of Ecoark.


Write to Will Feuer at Will.Feuer@wsj.com


(END) Dow Jones Newswires

06-09-22 0728ET