oken ground on its $115m distillery in Shelby County, Kentucky, on a day when a British regulator found the company to have breached marketing rules.The proposed 1.8 million proof gallon distillery will have six barrel warehouses and is expected to become operational in late 2016.
To be named The Bulleit Distilling, the facility will be involved in the production of Bulleit Bourbon.
The facility will also distill various existing and future Diageo bourbon and North American Whiskey brands.
Kentucky Governor Steve Beshear said: "Kentucky proudly welcomes The Bulleit Distilling to the family of distilleries that comprise our state's signature bourbon industry.
"Diageo's investment will not only contribute to Kentucky's thriving bourbon business, but will create quality jobs and offer an economic boost to Shelby county."
Shelby county's Triple S Planning Commission unanimously approved the distillery project in June.
During the construction phase, the distillery will create a significant number of jobs and is expected to employ nearly 30 people to manage whiskey distillation and maturation.
Meanwhile, the UK's Independent Complaints Panel has found Diageo in breach of marketing rules for using a misleading promotional counter top unit.
The panel took objection to the 'mix it up tonight' message on the unit, which may encourage consumers to drink more in one sitting.
However, the panel did not take any remedial action as Diageo had already redesigned the unit to remove the 'mix it up tonight' message before the complaint was made.
