Keel Infrastructure reports US$28M revenue as Moses Lake construction starts

The retreat from U.S. bitcoin mining and lower average bitcoin prices cut quarterly revenue to US$28 million before new AI facilities begin earning rent. Keel Infrastructure Corp. TSEKEEL NASDAQKEEL, a North American developer of data centres and energy infrastructure, reported the September-quarter results on Nov. 5.

Revenue fell from US$68 million in the third quarter of 2025 after Keel deliberately stopped U.S. mining during the second quarter. The company also attributed the decline to lower average bitcoin prices, while construction at Moses Lake began in September.

Keel reported approximately US$780 million in unrestricted cash as of Nov. 4. Management says it has no current need to raise debt or equity before signing a lease, but its financing strategy still includes obtaining project financing for the developments.

Before the results, Toronto-listed shares TSEKEEL stood at C$2.93 at 4 p.m. EST on Nov. 4. The Nasdaq listing NASDAQKEEL closed at US$2.10 at 4 p.m. EST on Nov. 4, also before the announcement.

Cash Supports Work Before Lease Signing

Keel's Nov. 5 update describes advanced lease negotiations across three near-term sites, with multiple prospective customers involved. Moses Lake is expected to become its first energized location generating high-performance computing revenue in 2027, leaving construction spending ahead of that income.

"We remain strongly capitalized, with approximately $780 million of cash liquidity and no current need for debt or equity financing before signing a lease," chief financial officer Jonathan Mir said in the Nov. 5 release.

Mir said capital deployed before a lease becomes part of Keel's equity contribution to project financing. He also identified capital recycling as an ongoing consideration, so the pre-lease funding assurance does not establish that the entire construction programme is financed.

Keel received the necessary Moses Lake permits and cleared notice to proceed before beginning construction in September. At Sharon and Panther Creek, the Nov. 5 release says three permits have cleared while four environmental permits remain, including two in draft form.

The distinction between those sites places Moses Lake ahead on construction readiness. Keel's September start is an executed milestone, while the announcement describes tenant negotiations across the three sites rather than announcing an executed tenant lease.

Bitcoin Sales Supplied Cash During The Quarter

Keel sold 2,520 bitcoin for US$192 million during the third quarter. The sales included its entire treasury position of 2,261 coins, alongside bitcoin produced during the period.

Holdings were nominal at Sept. 30, and Keel plans to sell bitcoin mined in Québec daily. That removes the former treasury position from future bitcoin-price exposure, while the remaining mining business continues producing coins for sale.

The third-quarter continuing-operations loss widened to US$62 million from US$11 million a year earlier. Keel attributed the result primarily to a US$55 million non-cash unrealized loss on capped calls associated with its convertible-note offering in 2025.

Operating loss narrowed to US$8 million from US$18 million in the third quarter of 2025. Depreciation was also lower, while general and administrative expenses rose to US$34 million from US$17 million as hiring, professional fees and stock-based compensation increased.

Adjusted EBITDA swung to a US$27 million loss from US$19 million of income a year earlier. That non-GAAP measure excludes items included in reported earnings; neither it nor the capped-call valuation loss provides a construction cash budget.

A Peer Has Begun Recognizing HPC Rent

Cipher Digital Inc. NASDAQCIFR, an industrial-scale data-centre developer and operator, reported its first HPC lease revenue on Nov. 2. Rent commenced at Black Pearl, while additional data halls there and at Barber Lake are scheduled to come online through year-end.

Mugglehead's earlier report followed that first rental income. Cipher's phased delivery schedule provides a comparison for Keel's 2027 target: construction, initial energization and the start of rent are separate milestones.

Read more: Cipher Digital reports US$27M revenue as first HPC lease income begins

Keel's longer-range expansion depends partly on load studies at Panther Creek and Scrubgrass, which it expects to finish in the first quarter of 2027. Potential expansion capacity under study is separate from its existing secured-capacity classification and from operating facilities.

The immediate opportunity to examine spending and lease progress is Keel's Nov. 5 results call at 8 a.m. EST. The subsequent scheduled tests are those first-quarter load studies and Moses Lake's targeted first HPC revenue in 2027.