Caret Digital has commenced mining with initial fleet of Antminer L9s

Further mining rigs to be ordered and deployed on a staged basis at hosting facilities in Wisconsin and Oregon

Caret Digital, a wholly owned subsidiary of VivoPower (Nasdaq: VVPR), has commenced Dogecoin (DOGE) mining operations with an initial fleet of Antminer L9 rigs at its Wisconsin hosting facility, the companies announced Sunday.

The move comes as part of a strategy to generate revenues and free cashflows for VivoPower, with Caret Digital planning to sell or forward sell most of the mined Dogecoin. Based on current DOGE prices and Antminer GPU costs, there is potential for Caret Digital to generate annual revenues of up to $25 million and cash earnings before interest, taxes, depreciation, and amortization (EBITDA) of up to $12 million.

"Execution of this strategy will allow Caret Digital to take advantage of the current profitability of Dogecoin mining to generate revenues and free cashflows for VivoPower as a group," the announcement said. "Caret Digital does not intend to hold most of the Dogecoin that is mined but will sell or forward sell them as appropriate."

"At the same time, Caret Digital will continue to work on developing up to 55MW of its own renewable-powered mining capacity to be used for Dogecoin and Litecoin mining, as previously announced," it added. "With a 55MW facility, Caret Digital would be able to generate revenues of up to $150 million per annum from Dogecoin mining (based on current price and cost inputs, which are subject to significant variability and hence this should not be taken as a forecast)."

The companies noted that VivoPower intends to use any free cashflow generated from the Dogecoin mining operations to reinvest into its Tembo e-LV business and further its commitment to delivering on the triple bottom line of people, profit and planet.

"Established in 2014 and listed on Nasdaq since 2016, VivoPower is an award-winning global sustainable energy solutions B Corporation company focussed on electric solutions for off-road and on-road customised and ruggedised fleet applications as well as ancillary financing, charging, battery and microgrids solutions," the statement explained. "VivoPower's core purpose is to provide its customers with turnkey decarbonisation solutions that enable them to move toward net-zero carbon status."

"VivoPower has operations and personnel covering Australia, Canada, the Netherlands, the United Kingdom, the United States, the Philippines, and the United Arab Emirates."