Company: SLNH
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023503
Chunk: 226

Company: Soluna Holdings, Inc
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 226
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. In
select states where we operate, our data centers are enrolled in ancillary services programs that support grid reliability.

Under
these programs, we commit to reducing a facility’s power consumption to a predetermined level when called upon by the grid operator.
In return, we receive compensation for maintaining this dispatch capability, provided we meet specific performance criteria. For example,
to qualify for compensation in a given period—typically monthly—the data center must meet minimum uptime and availability
requirements.

For
the three and nine months ended September 30, 2025, our Demand Response Business represented approximately 5% and 5% of total revenue.
For the three and nine months ended September 30, 2024, our Demand Response Business represented approximately 6% and 5% of total revenue.
2026 compensation rates are trending notably downward from increased participation in the program.

Operations
and Project Pipeline

As
of September 30, 2025, we operate approximately 105 MW of capacity across two active sites located in Murray, Kentucky and Silverton,
Texas. An additional 18 MW is under construction at our D2 project site, and as of September 30, 2025, we had over 900 MW of facilities
in advanced development or near shovel-ready status. In total, our project pipeline includes over 2.8 gigawatts (GW) of renewable energy-powered
data center developments.

46

A
summary of our pipeline, current and anticipated operating locations are as follows (as of September 30, 2025):

    Project
    Name
     
    Location
     
    MW
     
    Status
     
    Line
    of Business
     
    Power
    Source

    Sophie
     
    Murray,
    KY
     
    25
     
    Operating
     
    Bitcoin
    Hosting
     
    Grid
    / Hydro

    Dorothy
    1A
     
    Silverton,
    TX
     
    25
     
    Operating
     
    Bitcoin
    Hosting
     
    Wind

    Dorothy
    1B
     
    Silverton,
    TX
     
    25
     
    Operating
     
    Bitcoin
    Mining
     
    Wind

    Dorothy
    2
     
    Silverton,
    TX
     
    30/18
     
    Operating/
    In Construction
     
    Bitcoin