Soluna and Galaxy Expand Partnership to Deploy 48 MW at Project Kati 1

Soluna Holdings (NASDAQ:SLNH) has advanced its clean energy and cryptocurrency infrastructure strategy through an expanded partnership with Galaxy Digital (NASDAQ:GLXY). The collaboration involves the deployment of a 48 MW bitcoin mining operation at Project Kati 1, a major expansion of Soluna’s existing footprint. This represents the largest single deployment for a partner to date and is now construction-ready [1]. The addition brings Soluna’s total capacity to 83 MW, with the company aiming to reach 206 MW by the first quarter of 2026 [2].

Under the new agreement, Galaxy Digital will relocate its existing mining equipment—previously housed at the Helios datacenter campus in the Texas panhandle—to the Project Kati 1 site. This move aligns with the companies’ shared commitment to utilizing underused energy infrastructure in a sustainable manner [3]. The deployment also underscores Soluna’s ability to attract and retain major industry players, with Galaxy Digital serving as the first operational partner for the site.

The timeline for the project remains consistent across multiple sources, with Project Kati 1 expected to become operational by Q1 2026 [4]. Construction is set to begin before the end of August, pending final tax abatement approvals [5]. The agreement not only reinforces Soluna’s growing presence in the energy-crypto sector but also highlights the strategic value of large-scale deployments with established players.

Operationally, the partnership reflects a broader trend in the cryptocurrency industry, where firms increasingly seek energy solutions that emphasize efficiency and sustainability. By securing Galaxy as an early partner at Project Kati 1, Soluna is validating its approach to deploying high-capacity infrastructure in strategic locations. This could serve as a replicable model for future collaborations and potentially accelerate the adoption of clean energy in blockchain operations.

The 48 MW deployment underscores Soluna’s progress toward its long-term objectives and positions the company as a key participant in the evolving energy-crypto landscape. With clear timelines and strategic deployment plans, the partnership signals a maturing market where energy infrastructure and cryptocurrency operations are becoming more closely integrated [6].

Sources:

[1] title: Soluna Expands Partnership with Galaxy Digital to Deploy 48 MW at Project Kati

url: https://www.businesswire.com/news/home/20250812900775/en/Soluna-Expands-Partnership-with-Galaxy-Digital-to-Deploy-48-MW-at-Project-Kati

[2] title: Soluna Holdings Expands Partnership with Galaxy Digital

url: https://www.tipranks.com/news/company-announcements/soluna-holdings-expands-partnership-with-galaxy-digital

[3] title: Soluna expands partnership with Galaxy Digital for 48 MW ...

url: https://www.investing.com/news/company-news/soluna-expands-partnership-with-galaxy-digital-for-48-mw-deployment-93CH-4184844

[4] title: Soluna expands partnership with Galaxy Digital to deploy ...

url: https://seekingalpha.com/news/4483818-soluna-expands-partnership-with-galaxy-digital-to-deploy-48-mw-at-project-kati

[5] title: Soluna expands Galaxy Digital partnership with 48 MW ...

url: https://www.streetinsider.com/Corporate+News/Soluna+expands+Galaxy+Digital+partnership+with+48+MW+deployment+at+Project+Kati/25184256.html

[6] title: Soluna Expands Partnership with Galaxy Digital to Deploy 48 ...

url: https://markets.ft.com/data/announce/detail?dockey=600-202508120730BIZWIRE_USPRX____20250812_BW900775-1