Mr. Michel Amar reports

DIGIHOST'S HASHRATE DOUBLES TO 2EH/S AS OF JANUARY 1ST 2024

Digihost Technology Inc.'s bitcoin (BTC) mining hash rate has reached two exahashes per second, more than doubling production capacity in just one year, and the company has provided unaudited comparative bitcoin production results for the month ended Dec. 31, 2023, combined with an operations update. All monetary references are expressed in U.S. dollars unless otherwise indicated.

Key highlights:

• Achieved a bitcoin mining hash rate of two exahashes per second, representing an increase of 180 per cent on a year-over-year basis;
• Presently, Digihost's consolidated operating capacity across its three sites represents approximately 90 megawatts of available power; coupled with the strategic plan of obtaining new-generation miners in 2024 through either purchase or engaging in joint ventures, the company's management projects to be over six exahashes per second of hash rate by the end of 2024.

Monthly production highlights for December, 2023:

• The company mined approximately 82 BTC. Daily BTC mined during the month increased by 44 per cent compared with December of the previous year as, on a year-over-year basis, the company has enhanced its mining operations by virtue of infrastructure buildouts and hosting agreements.
• The company held cash, BTC and cash deposits of approximately $2.8-million as of Dec. 31, 2023 (based on a BTC price of $42,265 as of Dec. 31, 2023, per CoinMarketCap), as compared with Digihost's cash, BTC and cash deposits of $2.1-million as of Nov. 30, 2023 (based on a BTC price of $37,713 as of Nov. 30, 2023, per CoinMarketCap).
• The company spent approximately $300,000 on capital expenditures, mining infrastructure support equipment and collateral deposits. Digihost continues to monitor its capital expenditures closely with self-financing to limit equity dilution for its shareholders.
• Consistent with management's continuing commitment to minimize equity dilution for its shareholders, the company has continued to monetize a portion of its BTC production to fully finance its energy costs.
• The company did not purchase or sell any miners during the month.

Alabama site

The phase 1 buildout at the company's site in Alabama was completed in the first half of 2023. The Alabama site has a total potential power capacity of 55 megawatts. The company is presently working on the design of phase 2 for the Alabama site, which could provide Digihost with an additional 33 megawatts of power.

North Carolina expansion

Digihost owns 25 acres of graded land in North Carolina with a potential power allocation of up to 200 megawatts. The company expects to commence development of the North Carolina site in Q2 2024.

Community solar

Digihost is the anchor subscriber on the five-megawatt community solar project located in Angola, N.Y. This project is designed to generate enough renewable energy to power more than 2,000 households. Digihost signed a long-term agreement which anchors and enables the development and economic feasibility of the project. A ribbon-cutting ceremony for the project is scheduled for late Q1 2024 or early Q2 2024. The project was pushed back slightly due to utility interconnection delays, but it is now set to begin generating clean electricity in April, 2024.

In addition to the environmental benefits of the project, it is believed that it will also bring economic benefits to Digihost and has the potential to further reduce the company's already-low cost of mining.

Carbon capture

The company is currently exploring carbon capture initiatives to undertake as it maintains its focus on performing its operations in an environmentally conscious manner.

About Digihost Technology Inc.

Digihost is a growth-oriented technology company focused on the blockchain industry. The company operates from three sites in the United States and, in addition to managing its own operations, provides hosting arrangements at its facilities.

We seek Safe Harbor.