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(Sharecast News) - Active Energy Group said on Tuesday that its 8MVA site in the United Arab Emirates was expected to be used as the initial pilot deployment under its proposed collaboration with Bitdeer Technologies Group.
The AIM-traded company said the site, which was approaching energisation, would act as an operational benchmark for the proposed partnership, subject to final agreement.
It said the pilot was intended to allow both parties to assess and refine the technical, commercial and operational parameters of the model before any wider rollout.
Active Energy announced on 24 April that it had signed a letter of intent with Nasdaq-listed Bitdeer.
The proposed collaboration remained subject to due diligence, agreement of final commercial terms and execution of definitive documentation.
Active Energy said it was carrying out site configuration and optimisation works to align the UAE asset with the proposed structure.
Under the indicative model, the partnership is expected to be infrastructure-led, with Active Energy providing power, hosting and operational delivery, while Bitdeer would deploy equipment.
Active Energy said the site was expected, on an indicative basis only and subject to final terms and operating conditions, to generate infrastructure and power revenues of about $300,000 per MVA per year, alongside digital asset production of about 8.3 bitcoin per MVA per year, subject to network conditions.
The company cautioned that there could be no certainty that the indicative outcomes would be achieved, but said the board believed using an initial pilot deployment provided a disciplined and lower-risk route from the letter of intent to potential scaled execution.
Chief executive Paul Elliott said the 8MVA site represented "the first step in progressing the Bitdeer relationship from framework into execution".
"By using this site as a pilot, we can validate the model in a controlled way and establish a clear pathway to scale," Elliott said.
"This approach allows us to focus on our core strength - securing and delivering infrastructure - while leveraging partner capabilities for deployment."
At 1314 BST, shares in Active Energy Group were down 12.5% at 0.11p.
Reporting by Josh White for Sharecast.com.
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