NSW power station could host blockchain hub

ASX-listed IOT Group is hoping to co-locate a blockchain hub and data centre at a power plant in the upper Hunter region of NSW.

The company said in a statement it had signed a "binding agreement" with Hunter Energy to partner on the project.

The proposed site is the Redbank power station near Singleton, which Hunter Energy is "working to recommission ... and acquire all of the associated assets".

If that is successful, then the two would proceed to build a "blockchain applications centre" adjacent to the plant.

The centre would draw electricity directly from the plant - before it is distributed over the grid. It would be charged at wholesale, rather than retail, rates.

That would cut the costs of both IOT Group doesn’t have to foot the bill for grid costs, poles and wires, or electricity retailer margins.

In addition to the blockchain applications centre, IOT said it also wanted to co-locate a data centre at the site.

It said it is negotiating with a “major data complex builder/developer” to construct the data centre. It indicated it wanted the costs of the build largely borne by third parties.

IOT Group and Hunter Energy said more details would be worked out over the next 90 days.

Group co-founder Sean Neylon claimed the project “has good prospects of attracting interest from Australian and international blockchain operations”.