New distillery for Diageo

Diageo has announced a project to build a new distillery and warehouse in Kentucky, at a cost of $130 million. It is planned to be in operation by 2021.

The distillery will have the capacity to produce 3.8 million nine-litre cases per year, and will be used to distill Diageo’s current bourbon brands as well as new ranges that the drinks giant will launch in the future. It will supplement the company’s American whiskey production currently taking place at its still houses in Louisville and Shelbyville.

“Bourbon and American whiskey are vibrant and growing categories,” said Barry Becton, senior executive in Diageo’s North American business, speaking to the Daily Journal, “and we are excited to expand Diageo’s footprint in Kentucky to support our ambitions in this space.”

The governor of Kentucky, Matt Bevin, said: “We are proud to further our relationship with Diageo, and of the job growth associated with these announcements.”

Diageo owns several American whiskey labels including brands such as Johnnie Walker, Royal Lochnagar, Haig Club, and Bell’s whiskies.