E-Malt.com News article: New Zealand: Lion Breweries to invest NZ$15 million in earthquake-damaged brewery in Christchurch

Lion Breweries has announced it will invest NZ$15 million in its badly damaged Canterbury Brewery site in Christchurch's CBD, TVNZ reported on May, 26.

The company is planning to build a high-tech warehouse and distribution centre as part of a NZ$43 million scheme to cope with the production gap left by the out-of-action Christchurch brewery.

Acting managing director Rory Glass said in a statement that no employees of the brewery were injured during the earthquake but "the plant and equipment sustained extensive damage and we have been unable to brew beer since."

Glass said the company is determined to maintain a strong presence and commitment to Christchurch.

The Food and Grocery Council commended the announcement, saying it will an important step forward in the industry's recovery from the impact of the earthquakes.

"It is no doubt a great boost for Christchurch to see major New Zealand companies like Lion reinvesting and doing their part to assist with the rebuilding of the city," said Katherine Rich, CEO of New Zealand Food and Grocery Council.

As well as building the NZ$15 million warehouse and distribution centre in Christchurch, Lion will invest NZ$20 million to boost operating capacity at the Speight's Brewery in Dunedin, and NZ$8 million at "The Pride" brewing facility in Tamaki, Auckland, which opened last year.

It is hoped these upgrades will accommodate the lost production capability from the Canterbury Brewery.

However, 22 roles will be lost across the South Island arm of the company.

"We will be working closely with our Canterbury Brewery team to offer redeployment opportunities where possible, and comprehensive redundancy and support to those for whom redeployment is not possible," said Glass.


27 May, 2011