Riot Blockchain, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Property and Equipment (Tables)

Property and Equipment (Tables)

12 Months Ended

Dec. 31, 2021

Property, Plant and Equipment [Abstract]

Property and equipment consisted of the following as of December 31, 2021 and 2020 (in thousands):

	Life (Years)		December 31, 2021			December 31, 2020
Buildings and improvements		10-25	$	78,548		$	-
Miners and mining equipment		2		87,921			14,406
Machinery and facility equipment		5-7		12,373			-
Office and computer equipment		3		1,007			83
Construction in progress				113,598			-
Total cost of property and equipment				293,447			14,489
Less accumulated depreciation				(30,467	)		(4,346	)
Property and equipment, net			$	262,980		$	10,143

Schedule of Purchase Agreement Commitments, Deposits Paid and Expected Delivery Timing

As of December 31, 2021, the Company had outstanding executed purchase agreements for the purchase of miners from Bitmain for a total of 30,495 new S19j-Pro model miners and 30,000 new S19XP model miners, scheduled to be delivered through December 2022, and had paid a deposit of 43% of the total purchase price. A summary of the purchase agreement commitments, deposits paid and expected delivery timing (remaining balances are payable in advance of shipping) is summarized as follows (in thousands):

Agreement Date *	Original Purchase Commitment		Open Purchase Commitment		Deposit Balance		Expected Shipping
April 5, 2021	$	138,506	$	52,838	$	85,668	First Quarter 2022 - Fourth Quarter 2022
October 29, 2021		56,250		31,950		24,300	Second Quarter 2022 - Third Quarter 2022
November 22, 2021		32,550		21,158		11,392	Third Quarter 2022 - Fourth Quarter 2022
December 10, 2021		97,650		63,472		34,178	Third Quarter 2022 - Fourth Quarter 2022
December 24, 2021		202,860		131,859		71,001	Third Quarter 2022 - Fourth Quarter 2022
Total	$	527,816	$	301,277	$	226,539

* Pursuant to the Company’s agreements with Bitmain, the Company is responsible for all shipping charges incurred in connection with the delivery of the miners.

The Company paid approximately $85.7 million as a deposit for the miners to be acquired under the purchase agreement, dated effective as of April 5, 2021, with Bitmain to acquire approximately 42,000 Antminer model S19j Miners, which are scheduled to be shipped in 12 batches of approximately 3,500 miners each, on a monthly basis, through October 2022.