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Business / Lerwick whisky distillery edging closer to opening

The stills and fermentation units. Photo: Sandy Boak/Lerwick Distillery

PROGRESS on Shetland’s first whisky distillery is said to be going well – with two 4,000 litre malt stills now installed.

The Lerwick Distillery team’s aim is to first open the shop part of the building on Market Street, which could be in September.

A blended whisky will then be produced from casks from south initially before a single malt made on site follows in the coming years.

Once the doors open to the whole building – which could be next year, when people will be able to go on tours – it is thought that more than £4 million will have gone into the project.

A significant part of this has been through an investors scheme, which has drawn interest from Shetland all the way to Australia, Japan and America.

It is through this investment that the scope of the project has been able to expand since its initial concept.

Highlands and Islands Enterprise (HIE) has also put in £250,000 towards production equipment.

Its head of business growth in Shetland Andrew Gear said the development of the isles’ first whisky distillery will be a “real asset” to Shetland.

“It will create a high-quality product with global appeal, that will enhance Shetland’s food and drink offering and the visitor experience for our growing tourism market,” he said.

“It will also help create valuable employment opportunities in a new industry for Shetland.”

It is hoped that those employment opportunities could result in the creation of between 12 and 14 jobs.

In terms of whisky production, the equipment has the potential to produce around 700 to 900 litres a day.

Scottish law dictates that a spirit cannot legally be called a whisky until it has matured for at least three years and one day, so the distillery plans to bottle a blended spirit which will be sold from the shop in the meantime.

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Operations director Calum Miller said it is an “amazing” feeling to get the project – first mooted around six years ago – to this stage.

“It’s definitely the biggest thing I’ve ever accomplished in my lifetime,” he said.

“But we still have a way to go yet, so it’s a bit of a cautious excitement.”

Co-founder Martin Watt added: “Calum and I had our first meeting probably six years ago and we must have looked like rabbits in headlights at that meeting.

“To see what’s behind us now is absolutely fantastic. I just cannot wait to get the doors open and get people in here and actually see what we’ve put together.”

From left to right: HIE’s Andrew Gear with Lerwick Distillery’s Martin Watt and Calum Miller. Photo: Shetland News

Visiting the premises earlier today (Thursday), it is clear the installation work is moving forwards.

Enter through the front door on Market Street and you are greeted with a grand oak counter in the shop area, which feels like will be the cornerstone of the room.

The shop will offer whisky as well as other items, including knitwear – with Fair Isle’s Mati Ventrillon involved in curating the stock.

Walk through the former joinery building and you get to what will be the tasting room – with a large table, made from the same oak as the counter, dominating the space.

Beyond that is the production area. The two stills, which will heat the liquid and have cost around £800,000 in total, stand tall alongside seven 5,000 litre fermenters.

Miller proudly describes them as Shetland’s first ever malt whisky stills, and people on tours of the building will be able to get a close look at them thanks to an elevated platform.

While Miller and Watt are the founders of the business, the long established Ian Millar has signed on as the master distiller.

Watt said the aim when it comes to staffing is to create high quality jobs, while there is a hope to offer career progression including for young people and graduates.

The team are also testing the viability of homegrown barley for use in the whisky-making process.

“We’ve done one test batch,” Watt said. “If there are any other crofters that believe they’ve got soil that’s suitable for growing barley, we’d be interested in talking to them.

“The aim is to get at least 30 tonnes of homegrown barley as soon as practically possible.”

Meanwhile the team also said they would be happy to see other distilleries pop up in Shetland in the future, as it could help to grow whisky tourism.

“If you’ve got more distilleries people will then start making an effort to visit Shetland because there’s distilleries here,” Watt said.

“Whisky tourism is massive on mainland Scotland and also on the islands.

“Anybody who is thinking of setting up a whisky distillery in Shetland…we’re here to give advice and feedback, and we wish them all the best.”

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