Union Jack Oil, a publicly available UK energy company, has announced plans to convert natural gas from its West Newton site into electricity and into Bitcoin mining.
The move could generate early cash flow from wells that would otherwise remain undeveloped, the company said in its operations report Thursday.
The project is being pursued in collaboration with Rathlin Energy and Texas-based 360 Energy. This energy specializes in converting strand gas or flare gas into electricity for the data center on the premises.
Under a non-binding intent, companies aim to deploy field computing technology from the 360s to begin mining bitcoin on the regulator’s West Newton A site.
If successful, the new project could also lead to Union Jack “introducing a new Bitcoin financial strategy,” according to Chairman David Blumhill.
West Newton: Found, but still undeveloped
Union Jack Oil acquired a shares in West Newton in 2019 after operator Laslin Energy gased at the site. More drilling the following year made it one of the UK’s biggest onshore gas discoveries.
However, the site is pending due to delays in planning and regulatory uncertainty, slowing down the development of the infrastructure needed to bring gas to market.
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“Regulatory uncertainty unfairly hinders progress,” Bramhill said projects like West Newton suffer from issues of recognition despite their commercial appeal.
Instead of waiting for full-scale approval and infrastructure, UnionJack uses gas on-site to power Bitcoin mining rigs, generating early revenues without relying on traditional development schedules.
“Attack developers and producers are forced to think outside the box to make progress and bring about growth,” Bramhill said. He described the proposed Bitcoin mining venture as “innovative” and provided “a strong range of sustainable returns.”
Changes in how energy is monetized
Union Jack Oil’s mining initiative is part of a broader shift in how energy companies think about unused resources. Many oil and gas companies are experimenting with bitcoin mining to monetize chains or flare gases that would otherwise be wasted.
This model is to convert gas into electricity on site and use it to use mining rigs as power sources to avoid the delays and costs of connecting to the grid or building a pipeline. Professional providers such as 360 Energy and Crusoe have been working to make this approach modular and scalable.
Strategies are being deployed elsewhere. In North Dakota, USA, Conoco Phillips launched a pilot program that would supply extra gas to Bitcoin Miners rather than flare.
In Argentina, oil company Tekpetrol began operating mining rigs using the remaining gas from the drilling operations after facing restrictions on how much it was released into the environment.
Also, in June 2025, Canadian company Agriforce planned to expand to two more sites in Alberta, launching a natural gas-powered business to power 120 Bitcoin mining rigs.
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