Diageo plans Highland distillery

 
Kasmira Jefford
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DIAGEO said yesterday it has picked a site in the Scottish Highlands to build a new malt whisky distillery, as part of its £1bn investment programme launched last year.

The drinks giant said the planned site in Teaninich near Alness in Speyside will cost around £50m to build and will produce 13m litres of spirit each year. Work on the distillery, which is set to create up to 20 new jobs, will start next year.

Diageo also announced that its existing Teaninich distillery next to the new site will be expanded to almost double its capacity.

It will spend £30m on new production facilities.

In June last year, Diageo announced a five-year plan to pour £1bn into its Scotch whisky business to cater for demand from drinkers in emerging markets.