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Mining Power Group, Inc. (RCGR) Acquires Majority Ownership of Crypto Mining Data Center With Significant Assets and Revenues

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Mining Power Group, Inc. (RCGR) Acquires Majority Ownership of Crypto Mining Data Center With Significant Assets and Revenues

Northway Mining, LLC's Competitive Advantage is its Significant Cost Savings to Crypto Miners

PR Newswire

MIAMI, August 7, 2018 /PRNewswire/ --

Mining Power Group, Inc., (the "Company" or "RCGR"), announced today that it acquired the majority ownership interest of upstate New York technology company, Northway Mining, LLC, ("Northway") which offers highly specialized data center hosting services for thousands of cryptomining machines.

Northway, which will become a subsidiary of the Company, presently has revenues from its existing clients and also from an ever-increasing number of new clients.

Included as part of the acquisition are real estate assets of substantial value from the purchase of the buildings in which Northway operates and a future building into which it will expand. In addition, included are 30 acres of surrounding flat land that will be used for future expansion of Northway as well as for the placement of industrial containers to house 1000's of additional mining machines for clients.

The purchased property has onsite access to approximately 300 Megawatts of electricity at very affordable rates contracted by Northway, which provides Northway with a significant competitive advantage on which to aggressively seek new and large client contracts. The cost of electricity being a significant cost component in the operation of any cryptomining machine.

Under the terms of the transaction, Northway will maintain its current management and the Company will invest funds for the expansion of its facilities. Additional details of the pending transaction were not disclosed but will be included in an upcoming 8K filing.

Separately, the Company is in negotiations for a similar purchase of a majority interest in an unrelated privately-held company involved in the development of products for the cryptomining industry. Results of the negotiations will be announced at a later date.

Dror Svorai President and CEO, Mining Power Group, Inc. stated, "This is something that we had been working on for a while and we are so glad to finally complete this transaction. We have not only entered the data center market but we have done it in a big way that allows us to immediately begin a rapid ramp up of revenues. Existing clients can readily add machines because of our immense capacity, which is a key capability that we offer our clients. Our immediate ability to expand our facilities and the significant operational cost savings we can offer our clients due to our low cost of electricity, provides them with an affordable way to thrive and profit."

Michael Miranda, President of Northway Mining stated: "Our whole team is excited to be a part of Mining Power Group and a part of a public company which will give us the support we need to keep pace with our rapidly growing business. The increasing demands from our existing client base, coupled with our many new client additions, required that we rapidly accelerate our expansion to meet the needs of both. With our highly experienced and qualified staff and Mining Power Groups' support, we will be able to upgrade our facilities and aggressively take advantage of this rapidly growing market."

About Mining Power Group, Inc.

Mining Power Group, Inc. was originally formed as Rich Cigars to distribute, brand and market tobacco products. Following a change of control in November 2017, it changed its name and shifted its focus to become a holding company for new subsidiary operations serving the cryptomining industry. The Company trades under the symbol ("RCGR") and is a fully reporting SEC company listed on the OTC market. The Company has paid the fee and is in the process of submitting its application to OTC Markets in order to uplist to the OTCQB, which it plans to accomplish by September 1, 2018. For additional information on the Company, visit, http://www.miningpowergroup.com.

About Northway Mining, LLC 

Northway Mining, LLC, located in Athens, NY, is a crypto mining data center hosting over 1,100 rigs that operate 24/7. It has over 5000 square feet of secure crypto mining space of any type of machines and is fully climate-controlled to assure maximum machine optimal output. It has a unique competitive advantage in its onsite access to 300 Megawatts of electricity at very affordable rates. Its employees have significant experience in cryptocurrency operational systems, the repair of miners, and general computer science and info management systems with a strong interest in all things Bitcoin/crypto/blockchain. For additional information on Northwood Mining, visit, https://www.northwaymining.com

Safe Harbor Statement: 

This release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934. Such statements include any that may predict, forecast, indicate, or imply future results, performance or achievements, and may contain the words "estimate", "project", "intend", "forecast", "anticipate", "plan", "planning", "expect", "believe", "likely", "should", "could", "would", "may" or similar words or expressions. Such statements are not guarantees of future performance and are subject to risks and uncertainties that could cause the company's actual results and financial position to differ materially from those in such statements, which involve risks and uncertainties, including those relating to the Company's ability to grow. Actual results may differ materially from those predicted and any reported should not be considered an indication of future performance. Potential risks and uncertainties include the Company's operating history and resources, economic, competitive, and equity market conditions. 

Contact:

Mining Power Group, Inc.

+1(800)304-2657


SOURCE Mining Power Group, Inc.

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