DRINKS GIANT Diageo is preparing to draw up a masterplan for its world-famous St James’s Gate Guinness brewery in Dublin that is likely to involve it seeking planning permission to consolidate its beer-making activities on part of the site as part of a €100 million-plus investment.
This could involve other parts of the 55-acre site that are currently not used by the brewer either being sold or redeveloped for other activities over a period of time.
Diageo has held preliminary discussions with Dublin City Council about drafting a masterplan for St James’s Gate. This is set to be completed by the end of the summer with a planning application submitted to the council in the autumn.
This is likely to involve the consolidation of brewing activities on the north side of the site – an area that runs from James’s Street to Victoria Quay, close to Heuston station. If the plan gets the green light, construction could begin in 2012.
The brewery currently produces Guinness for the Irish, British and US markets and this investment would secure the future of St James’s Gate into the longer term.
A spokesman for Diageo confirmed yesterday that it had held “exploratory consultations” with Dublin City Council regarding the St James’s Gate site.
“However, the company has not made a final decision regarding investment. We will share this information with staff and the wider community when we are in a position to do so,” he said. Dublin City Council declined to comment.
In 2009, Diageo announced plans for an ambitious €650 million overhaul of its brewing activities in Ireland.
This involved closing long-established breweries in Kilkenny and Dundalk by the end of 2012 and reducing capacity at St James’s Gate.
The proceeds from the sale of land at these sites was to be used to help fund a “super brewery” in Leixlip, Co Kildare.
Part of the land for the Leixlip brewery was being acquired from members of the Guinness family. It would have been the biggest capital investment to date by Diageo.
The plan was put on ice in January 2010 due to the impact of the recession on beer sales and the collapse in the property market.
The company has yet to indicate its intentions in relation to the super brewery. It is also not clear if the facilities in Kilkenny and Dundalk will be closed.
