Aluminum producer Alcoa is nearing a deal to sell its inactive Massena East smelter in New York to Bitcoin mining firm New York Digital Investment Group (NYDIG). The site, idle since 2014, offers pre-existing heavy-duty power infrastructure and access to hydropower. This transaction reflects a wider trend of retired industrial facilities being converted for cryptocurrency mining and data center use.
Alcoa is in advanced discussions to sell its long-idle Massena East aluminum smelter to Bitcoin mining firm New York Digital Investment Group (NYDIG). CEO Bill Oplinger told Bloomberg the transaction is expected to close around mid-year.
The facility has been inactive since 2014 due to high energy costs. Its existing substations and grid connections make it attractive for energy-intensive computing operations.
The site benefits from hydropower supplied by the New York Power Authority. This aligns with the demand from miners and data centers for low-cost, lower-carbon energy sources.
The potential sale is part of a broader trend across the United States. Earlier this year, Century Aluminum sold its Hawesville smelter in Kentucky to TeraWulf for $200 million.
That site is planned for conversion into a high-performance computing and AI facility. Industrial sites are increasingly being repurposed for digital infrastructure.
NYDIG has been expanding its Bitcoin mining infrastructure footprint. The firm already holds a stake in Coinmint, which operates mining hardware at the same campus.
Last year, Crusoe Energy also agreed to sell its Bitcoin mining business to NYDIG. This includes its digital flare mitigation operations.
NYDIG’s push comes as other miners diversify toward AI and cloud computing. MARA Holdings recently acquired a majority stake in French infrastructure company Exaion for an AI foothold.
Other firms like Hive, Hut 8, TeraWulf, and Iren are similarly repurposing facilities. Some companies, such as CoreWeave, have fully transitioned to AI-focused infrastructure.
