Dunnet Bay Distillers Commences Production at Stannergill Whisky Distillery in Caithness

The numbers say nobody should be opening a distillery: 69 Scottish distilleries are reported to be in financial distress, single malt sales fell 6% last year, and spirits duty has risen more than 17% in three years, with some distilleries halting or reducing production. On June 30, Dunnet Bay Distillers opened one anyway. Stannergill Distillery is a £5 million bet on the far north: the 200-year-old Castletown Mill on the Caithness coast brought back to life as a working single malt distillery, by the husband-and-wife team behind Rock Rose Gin. Martin and Claire Murray founded Dunnet Bay Distillers in 2014 to fight rural decline in their home county; this is the biggest swing they've taken. The twist is who built it. Martin Murray is a Thurso-born chartered chemical engineer who spent his early career in oil and gas with BP and Total — and the distillery he has now designed burns nothing on site: an electric boiler powers all steam generation with zero on-site emissions, crossing on day one the decarbonisation barrier the rest of the industry calls its hardest problem on the road to its 2040 net-zero commitment. The bet is generational by design. The wash still, 5,000 litres, is called Anna; the spirit still, 3,500 litres, is called Isla — the Murrays' daughters. Whisky distilled this summer cannot legally be sold for years; you don't name the stills after your children if you're planning a quick exit. "Bringing Stannergill into production has been a complex and rewarding journey, combining detailed process engineering with a clear vision for the style of whisky we want to create," said Martin Murray. "Everything here has been designed with intention — to produce a spirit that truly reflects this landscape, while setting a new standard for energy efficiency in our sector." The design is also the survival strategy. The distilleries in trouble are carrying old energy costs, rising duty and a surplus market; Stannergill was built for the 2030s instead — efficient, electric, and a destination from day one, with The Grain Store restaurant (opened March, rated 4.9 from 135 reviews) already drawing visitors to a county most tourists drive past. "Stannergill is not just about whisky production — it's about creating a destination and sharing the story of Caithness with visitors from around the world," said Claire Murray. "We've always believed in building something with a strong sense of place." Work on the maturation warehouse begins in the coming months. Tours, tastings and tables at stannergillwhisky.co.uk/visit.