$BLQC BlockQuarry Announces Acquisition of Blockch

$BLQC BlockQuarry Announces Acquisition of Blockchain Energy Services, LLC, a Subsidiary of Pantheon Resources, Inc.

https://www.globenewswire.com/news-release/20...s-Inc.html

HOUSTON, May 04, 2023 (GLOBE NEWSWIRE) -- via IBN -- BlockQuarry Corp. (OTC: BLQC) (“BlockQuarry” or the “Company”), a Texas-based company with commercial-stage operations in the energy and infrastructure industry, is pleased to announce its acquisition of Blockchain Energy Services, LLC, a subsidiary of Pantheon Resources, Inc.

The Company has acquired all of the issued and outstanding shares of Blockchain Energy Services, LLC (“BES”). BES is developing a data processing site in the state of Missouri, specifically designed for cryptocurrency mining and artificial intelligence (AI) clients.

Certain infrastructure is already in place, including a land lease that the Company will assume. The land lease has a five-year term expiring September 2027 and requires annual payments of $18,000 in the first year, increasing 5% per year thereafter. The Company will also take over the existing power agreement for the site that BES has previously executed. The total power capacity for the entire site is 30 megawatts (MW), with 3 megawatts (MW) already built out and ready to be energized.

The Company will issue Pantheon $600,000 worth of Series B Convertible Preferred Stock, based on the equivalent market value of the common shares issuable under the Series B Convertible Preferred Stock.

Alonzo Pierce, president and chair of BlockQuarry, stated, “I am extremely excited about this new acquisition for BlockQuarry. This allows us to expand our business operations and continue to execute on our long-term growth strategy of acquiring valuable land and power infrastructure to serve a wide range of clients. We are extremely excited and look forward to sharing some more developments on this in the coming weeks.”

In connection with this agreement, the Company entered into a strategic partnership agreement with Pantheon whereby the Company will fund and develop the infrastructure needed to make the data processing site operational, with Pantheon providing operational and engineering expertise. The partnership has an initial term of 12 months and is thereafter cancelable by either party with 90 days’ notice. The Company will pay 10% of all revenues from the mining site to Pantheon as consideration for the agreement.

Lawrence Davis, chairman of Pantheon Resources, stated, “I am confident that this partnership with BlockQuarry will lead to extraordinary achievements and set new benchmarks in the mining industry. We are immensely proud to embark on this journey with BlockQuarry, and we are eager to unlock the immense potential that lies ahead.”

Jarrod Robertson, CEO of Pantheon, followed, “By leveraging the expertise of both organizations, we are poised to deliver unprecedented value to our stakeholders and the communities we serve.

“BlockQuarry's unparalleled expertise in advanced mining techniques and technology solutions will be instrumental in shaping the future of our operations. Together, we will pioneer innovative approaches that will redefine industry standards and reshape the mining landscape.”

All Company updates, material and nonmaterial, will only be made public via press releases, Twitter and/or via the Company’s website: www.BlockQuarry.io.