Gas-to-Bitcoin Firm Crusoe Energy Sues Rival Alkane Midstream Over Patent Infringement

The Denver-based gas-to-bitcoin infrastructure company Crusoe Energy is suing the rival firm Alkane Midstream LLC over alleged patent infringement and poaching customers in Colorado. Crusoe’s lawsuit claims since November 2019, “Alkane was actively monitoring Crusoe and its business.”

Gas-to-bitcoin flare mitigation company Crusoe Energy filed a lawsuit against the company Alkane Midstream on August 22, 2022. The gas-to-bitcoin infrastructure firm is asking the Denver division of Colorado’s federal court to order Alkane to stop infringing on two patents.

The lawsuit obtained by Bitcoin.com News also claims Alkane caused Crusoe to lose work after two gas and oil refiners backed away from agreements made with the company in November 2021. The two gas and oil producers are called the “Colorado Producers,” and are not officially named in the lawsuit filed against Alkane.

“Alkane has infringed Crusoe’s patents in Colorado and has interfered with Crusoe’s current and prospective business relations in Colorado,” the company’s lawsuit details. Cruso’s legal complaint further insists Alkane “committed, aided, abetted, or participated in the tortious act of patent infringement.”

A report published on August 26, quoting businessden.com, noted that Alkane CEO Ryan Blazee called the trial “disappointing” and there was “little surprise.” Blazzi said that some of the things claimed in the complaint will be regretted. The CEO further said that Alkane had worked with Crusoe Energy prior to the filing, and there were no grievances. The two patents mentioned in the lawsuit are U.S. Patent No. 10,862,307 (the 307 patent) and U.S. Patent No. 10,862,309 (the 309 patent).



Crusoe Energy previously raised $505 million in April 2022, and the company has been working with a number of gas and oil producers in North America. Alkane Midstream and Crusoe Energy are not the only companies working with gas-to-bitcoin solutions, as firms like Validus Power, Greenidge Generation, Upstream Data, Vespene Energy, and EZ Blockchain leverage similar flare mitigation technologies.

In addition to the alleged patent infringement, after the deals in November 2021 were canceled, Crusoe claims the president of the “Colorado Producers” said the firm’s services were no longer needed because “the ‘Colorado Producers’ had contracted with Alkane.” Crusoe is not only asking for the court to order Alkane to stop infringing the two patents but it is also seeking monetary damages and a “trial by jury on all issues.”

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