VANCOUVER - Conifex Timber Inc. (TSX: CFF) faced a legal setback Monday after the Supreme Court of British Columbia upheld a government order affecting energy supply to cryptocurrency mining operations. The company had sought a judicial review of the Lieutenant Governor in Council of British Columbia's Order in Council 692/2022, which relieved the British Columbia Hydro and Power Authority from supplying service to cryptocurrency mining projects for 18 months.
The court denied Conifex's request to quash the order, which the company argues could hinder energy affordability, technological innovation, and economic growth in the province. Despite the decision, Conifex expressed its disagreement with the ruling and is currently evaluating potential avenues for appeal or other legal actions.
Conifex, known for its operations in timber harvesting, reforestation, forest management, and lumber production, also operates a bioenergy facility in Mackenzie, BC. The company's products primarily serve markets in the United States, Canada, and Japan.
The legal challenge comes against the backdrop of growing scrutiny over the energy consumption of cryptocurrency mining operations. The British Columbia government's order is part of broader efforts to manage the province's power resources amid concerns over the environmental impact of such activities.
Conifex's Chairman and Chief Executive Officer Kenneth A. Shields expressed disappointment in the court's decision, suggesting that it represents a missed opportunity for the province in various sectors, including the power distribution grid's reliability and resilience.
This news article is based on a press release statement.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.