Pernod Ricard: Irish Distillers Announces €250 Million Investment Plan for New Distillery in Midleton

Rhea-AI Summary

The Irish Distillers has announced a significant €250 million investment to establish a new distillery in Midleton, Cork, expected to commence operations in 2025. This project aims to enhance production capacity for renowned brands like Jameson and Redbreast, creating approximately 100 skilled jobs and 800 construction jobs. The distillery will utilize innovative MVR technology for carbon neutrality and contribute to local biodiversity efforts. This investment reflects Irish Distillers' commitment to sustainability and the growing global demand for Irish whiskey.

Positive

• €250 million investment to build a new distillery in Midleton, Cork.
• Expected to create up to 100 skilled jobs and 800 construction jobs.
• New facility aims for carbon neutrality through innovative MVR technology.

Negative

• None.

• The €250 million investment will support the delivery of a new, purpose-built, state-of-the-art distillery which is expected to be operational in 2025
• Once operational, the new distillery will create up to 100 new highly skilled jobs for East Cork over time
• The new distillery will be situated on a site adjacent and connected to the world-famous Midleton Distillery and will generate circa 800 construction jobs over 3 years
• The new distillery will be a carbon neutral operation, facilitated by the implementation of new and innovative MVR (Mechanical Vapour Recompression) technology to reuse waste heat and the use of biogas produced on site.

CORK, Ireland--(BUSINESS WIRE)-- Regulatory News:

Pernod Ricard (Paris:RI):

Irish Distillers, producer of some of the world’s most well-known and successful Irish whiskeys, has today announced it will invest 250 million euro to build a new distillery in Midleton Co. Cork in order meet demand and ensure the necessary future production capacity for its portfolio of Irish whiskeys globally.

The distillery will produce some of the world’s most well-known and successful Irish whiskeys, including Jameson, Powers, Redbreast, Midleton Very Rare, the Spot family and Method and Madness.

The new distillery will be situated on a 55-acre site adjacent and connected to the world-famous Midleton Distillery.

Subject to a successful planning application and meeting all licensing requirements, the new distillery will distil pot still and grain whiskey with grain intake, brewing, fermentation, and distillation facilities incorporated into the new 55-acre site.

The new distillery is expected to generate up to 100 highly skilled new jobs for the region over time once the distillery is operational in 2025, and circa 800 jobs during the construction phase.

Irish Distillers recently announced plans to invest €50 million to fund projects aimed at transforming Midleton Distillery into a carbon neutral operation by the end of 2026 by leveraging breakthrough emissions reducing technology to reduce energy use. In line with Irish Distillers’ ambition, the new distillery will also be a carbon neutral operation.

The new site will also incorporate various environmental projects which will be developed in order to enhance biodiversity and protect local wildlife.

An expanded distilling capacity is expected to increase Midleton Distillery’s requirement for barley and malted barley by up to 50%, which the company intends to source from Irish farmers.

The Irish Distillers project team is partnering with engineering and architecture consultancy firm Arup on the initial design and with Harry Walsh Associates on the planning application. Irish Distillers is engaging with all relevant stakeholders and consulting with community groups in the locality as part of the pre-planning process.

A planning application is expected to be submitted to Cork County Council towards the end of 2022 and, if successful, construction will commence in 2023 with plans for the distillery to be operational in 2025.

Speaking at the announcement, An Taoiseach, Micheál Martin TD, said: “The continued success of the Irish whiskey industry is something that we can be incredibly proud of as a nation. Irish Distillers has played an integral role in the development of the industry. Whiskey has been distilled in Midleton for nearly 200 years and the €250 million investment will deliver hundreds of more jobs into the future, both during construction and once the distillery is operational... Today’s announcement is an extremely positive development for Midleton and the local East Cork economy more broadly and will further solidify Midleton’s reputation as the home of Irish whiskey.”

Nodjame Fouad, Chairman and CEO at Irish Distillers, said: “At Irish Distillers we are always planning for the future growth of Irish whiskey and today is a momentous day for Irish Distillers and the team at Midleton Distillery as we announce a €250 million investment plan to deliver a new, state of the art distillery in Midleton, Co. Cork which will be a carbon neutral operation. We are immensely proud of the continued strong performance of our full portfolio of Irish whiskeys, led by Jameson which sold over 10 million cases in our 2022 financial year. The new distillery will be a beautiful, landmark development with sustainability at its core and will serve to further demonstrate our commitment to Midleton and East Cork, generating more jobs for the region and further driving recognition of Midleton Distillery as the beating heart of Irish whiskey.”

Tommy Keane, Operations Director at Irish Distillers, said: “Whiskey has been distilled in Midleton for almost 200 years and as such it has always been our desire to secure the future of distilling in East Cork. Today, we are delighted to announce plans for a new distillery connected to the famed Midleton Distillery. We are incredibly proud of Midleton’s well-earned reputation as the home of some of the world’s most loved Irish whiskeys, and today’s announcement – along with the ongoing €13 million redevelopment of our visitor experience – will cement Midleton’s reputation as a world-renowned whisk(e)y destination. Through the delivery of this distillery, we also plan to play our part in supporting Ireland’s decarbonising strategy while also aligning with Pernod Ricard’s commitment to follow a Net Zero trajectory by 2050.”

Leo Clancy, CEO Enterprise Ireland, said: “Midleton is synonymous with whiskey, and is globally renowned for its products. Enterprise Ireland is delighted to work with Irish Distillers, and we warmly welcome their announcement today about their ambitious new €250m investment plan which will deliver a new distillery that will be a carbon neutral operation. This planned investment will also have an important impact on the local community, by creating up to 100 new jobs in East Cork, as well as hundreds more during the construction phase. It also demonstrates Irish Distillers continued long-term commitment to Ireland and their sustainability ambitions.”

Ends

Notes to the editor:

The distillery will also employ innovative Mechanical Vapor Recompression (MVR) technology which will see a closed loop system capture, compress and recycle waste heat in the distilling process. Renewable sources of energy, including green hydrogen and biogas will be used to power the distillery. Irish Distillers has partnered with local experts at EI-H2 to explore opportunities to source green hydrogen and carried out extensive research in partnership with MaREI, the SFI Research Centre for Energy, Climate and Marine, hosted by University College Cork, to determine the biomethane potential of the by-products of distillation and design the required anaerobic digestion process necessary to produce biogas. Irish Distillers will also partner with StanTech on wastewater treatment and biogas production.

In addition to its commitments to eliminate scope 1 and scope 2 emissions across both distilleries, Irish Distillers has also committed to working with suppliers on projects and initiatives to reduce scope 3 emissions across all areas of its business including raw materials, dry goods, transportation, logistics and freight.

About Irish Distillers

Irish Distillers is Ireland’s leading supplier of spirits and wines and producer of some of the world’s most well-known and successful Irish whiskeys. Led by Jameson, our brands are driving the success of Irish whiskey globally. Jameson is the world’s fastest-growing Irish whiskey, selling 10.4 million cases in FY22. Our brands are exported to 130+ markets around the world, with many of those experiencing double-or triple-digit growth.

Irish Distillers was formed in 1966, when a merger took place between John Power & Son, John Jameson & Son and Cork Distilleries Company. In 1988 Irish Distillers joined Pernod Ricard, gaining access to unprecedented levels of investment and an extensive global distribution network. Since 2012, we have invested over €250m to double our production and bottling capacity to meet global demand for our products.

We employ over 800 people across our operations in Cork and Dublin.

About Pernod Ricard

Pernod Ricard is the No.2 worldwide producer of wines and spirits with consolidated sales amounting to €10,701 million in fiscal year FY22. The Group, which owns 17 of the Top 100 Spirits Brands, holds one of the most prestigious and comprehensive portfolios in the industry with over 240 premium brands distributed across more than 160 markets. Pernod Ricard’s portfolio includes Absolut Vodka, Ricard pastis, Ballantine’s, Chivas Regal, Royal Salute, and The Glenlivet Scotch whiskies, Jameson Irish whiskey, Martell cognac, Havana Club rum, Beefeater gin, Malibu liqueur or Mumm and Perrier- Jouët champagnes. The Group’s mission is to unlock the magic of human connections by bringing “Good Times from a Good Place”, in line with its Sustainability and Responsibility roadmap. Pernod Ricard’s decentralised organisation empowers its 19,480 employees to be on-the-ground ambassadors of its purposeful and inclusive culture of conviviality, bringing people together in meaningful, sustainable and responsible ways to create value over the long term. Executing its strategic plan, Transform & Accelerate, Pernod Ricard now relies on its “Conviviality Platform”, a new growth model based on data and artificial intelligence to meet the ever-changing demand of consumers.

Pernod Ricard is listed on Euronext (Ticker: RI; ISIN Code:FR0000120693) and is part of the CAC 40 and Eurostoxx 50 indices.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220906005583/en/

Pernod Ricard

Source: Pernod Ricard

FAQ

What is the purpose of the €250 million investment by Irish Distillers?

The investment aims to build a new distillery in Midleton, Cork, to meet growing global demand for Irish whiskey.

When is the new distillery expected to become operational?

The new distillery is expected to be operational in 2025.

How many jobs will the new distillery create?

The new distillery is expected to create up to 100 skilled jobs and approximately 800 jobs during the construction phase.

What technology will be used for the new distillery's operations?

The distillery will utilize Mechanical Vapour Recompression (MVR) technology to achieve carbon neutrality.

What brands will be produced at the new distillery?

The distillery will produce renowned brands including Jameson, Powers, and Redbreast.