The American energy company Diversified Energy has found itself at the center of a scandal due to the cessation of its cryptocurrency mining activities at the Longhorn Pad A site in Elk County, Pennsylvania. After operations ceased, the company left open wells, raising concerns about compliance with environmental regulations. This was reported by Erie Times-News.
This is reported by Finway
According to the publication, Diversified Energy began using this abandoned location in 2022 to power generators that supplied energy to computers for cryptocurrency mining. However, during the launch, the company did not obtain the necessary air emissions permit from the Pennsylvania Department of Environmental Protection (DEP).
Although the permit was issued only in December 2023, an inspection conducted in March 2025 revealed that the equipment had already been dismantled and the site was left unattended. DEP representatives reported the absence of generators and production facilities, which led to an official notice of violations related to leaving wells unsealed.
“The only thing we know is that everything looks abandoned. The generators and tanks were removed without any warning,” said local oversight representative P.J. Piccirillo.
Critics and environmental activists point out that the company violated its 2021 commitments, under which it was supposed to close the Longhorn A well and 13 others after their operation ended. The report noted that the cost of closing a single well could exceed $100,000, and Pennsylvania already has over 350,000 abandoned wells that pose serious environmental risks.
Despite entering into an agreement under which Diversified Energy committed to closing 2,600 wells by 2034, the company remains under close scrutiny, including from the U.S. House of Representatives Committee on Energy and Commerce. Experts from the Cambridge Centre for Alternative Finance estimated that the annual electricity consumption by Bitcoin miners accounts for 0.54% of total global electricity usage.