Many cryptocurrency mining companies are utilizing electricity generated from combusting fossil gas, or “fracking,” at gas well pads. This type of mining operation can reopen orphaned wells, often in remote areas such as in western Pennsylvania, that should otherwise be plugged or capped to prevent methane release and other types of pollution. The mobility and remoteness of these operations make them and their pollution difficult to quantify or mitigate.
In Elk County, Diversified LLC operates a gas well pad and uses fracked gas to fuel their cryptocurrency mining operations. In early 2023, environmental groups in Pennsylvania filed comments to the PA DEP urging the department to withdraw approval of Diversified’s permit in Elk County — citing the energy-intensive nature of cryptocurrency mining, its threats to air quality, and Diversified’s failure to meet critical PA DEP requirements. Many of Diversified’s locations, including the well pad in Elk County, are in violation of Pennsylvania’s Air Pollution Control Act.
PA DEP confirmed Diversified installed cryptocurrency mining infrastructure before obtaining the required permits, stating that Diversified is:
“required by law to obtain a plan approval from PA DEP prior to installation and operation of the air contamination sources. Installation of the equipment without a plan approval could lead to enforcement action by the PA DEP.”