THE MINING POD: TeraWulf Q3 Recap: Future AI Deals, Capital Structure, and the Future of WULF’s BTC Mining

Nov 18, 2025

Patrick Fleury, CFO of TeraWulf, shares insights into the company's financial strategy and recent achievements, including their first AI revenue of $7.2 million. He discusses significant AI contracts with FluidStack and Core42, and the interplay of capital structure amidst rising demand for mining operations. Fleury raises alarms about Bitcoin's security, predicting a potential decline in US hashrate that could pose risks of centralized mining under Chinese control. Tune in for a blend of finance, technology, and critical industry concerns.

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INSIGHT

HPC Margins Are Highly Predictable

TerraWulf's high-power compute (HPC) leases show predictable, high net operating margins around 72–82%.
These margins stem from fixed costs like labor, insurance, and property taxes that scale predictably with contracted revenue.

ADVICE

Budget Ground-Up With Firm Vendor Commitments

Build budgets from the ground up with vendor schedules, firm deposits, and double-digit contingency for delays.
Use prior site experience and contractor relationships to validate timelines and reduce execution risk.

INSIGHT

Creative Financing Lowered Cost Of Debt

TerraWulf financed a massive build by combining $1.1B equity with $3.2B rated debt to fund CapEx and reserves.
Partnering with Google materially lowered Terrawulf's cost of debt and unlocked the rated bond market.

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WULF’s CFO joins the pod to discuss TeraWulf’s Q3 earnings, financing strategy, and the future of its bitcoin mining business.

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Welcome back to The Mining Pod! Today, Patrick Fleury, CFO of TeraWulf, joins us to talk about WULF’s Q3 where they booked their first AI revenue at $7.2 million, signed AI deals with FluidStack and Core42, and how they're balancing their debt structure. Patrick also drops a provocative warning about Bitcoin's security: with US hashrate potentially dropping from 40% to just 5-10% by 2028, Bitmain could become the largest miner controlled by China, creating the only real vulnerability in Bitcoin's network.

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**Notes:**

• First AI revenue: $7.2 million in Q3

• 450MW contracted with FluidStack at Lake Mariner

• 72.5MW deal with Core42 signed

• Demand response revenue: $7.3-7.4 million Q3

• Adjusted energy cost: 4.7 cents per kWh

• Current hashrate: 7.2 exahash

Timestamps:

00:00 Start

02:57 Anthropic

05:50 Q3 summary

11:05 HPC & income margin

13:01 Designing capital raises

21:31 Balancing different debt instruments

25:50 Replacing ATM debt

29:07 Agreements

33:32 Bitcoin mining ops

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