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Theme Review Auction 001Ending 31.12.2024
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December 2024 AuctionEnding 06.01.2025
Founded
1973
Region
Canada
Status
Operational
Production type
Canadian Whisky
Production capacity
18,500,000 litres per year
Former name
Palliser

The Black Velvet distillery is a large plant located in Lethbridge in the Canadian state of Alberta. It is owned by Heaven Hill Brands and produces an array of different spirits, however is best-known for the Black Velvet Canadian whisky brand from which it takes its name.

Distilling at Black Velvet is fully automated and its whisky is made on a four-column continuous still consisting of a beer column, extractive distillation column, a fusel column, a rectifying column and several copper condensers. Its majority-corn mashbill whisky is blended-at-birth with a rye flavouring whisky and the vatting is aged in ex-bourbon casks.

The Black Velvet brand is much older than the distillery where it is currently made, and was introduced by W&A Gilbey in 1951. Its original name was actually Black Label, however it was quickly changed at the suggestion of master distiller, Jack Napier.

Various changes in ownership saw the brand owned by Diageo by 1999, who sold it Canandaigua Brands (renamed Constellation Brands the following year). They moved all production of their Canadian whisky to the former Palliser distillery in 2009, and the plant was renamed after what is now its flagship label. The Black Velvet operation was then acquired by Heaven Hill brands in 2019, and its current core range is made up of a 3- and 8-year-old Canadian whisky alongside a variety of flavoured expressions aimed at the cocktail market.

1997-1999
1962-1997 (-1973 brand only)
1951-1962 (brand only)

Black Velvet Distilling Compay
2925 9 Avenue N
Lethbridge
AB T1H 5E3
Canada

1973
Founded
History

The story of Black Velvet begins with the expansion of English distillers, W&A Gilbey into the North American market in 1933. They set up a distillery in Toronto, Ontario to distil their popular gin brands, however quickly sought to make a move into the Canadian whisky market. They tasked their distillers Crosbie Hucks and Jack Napier with the job of devising recipes for new brands. They settled on a blended-at-birth vatting of two whiskies, one corn and one rye mashbill and what was originally known as Black Label was first distilled in 1946.

The story goes that when Napier first sampled the aged product, he was so taken by its smooth character that he insisted its name was changed to Black Velvet. W&A Gilbey launched the brand in 1951 and it quickly became a success. The company merged with United Wine Traders in 1962 to become International Distillers & Vintners (IDV), which was acquired by the ambitious Grand Metropolitan group in 1972. The new ownership quickly invested in expansion in Canada, opening the Palliser distillery in Alberta the next year. Production of Black Velvet was moved there and the old Gilbey's Toronto plant eventually closed in the 1980s. Further investment then saw the Palliser distillery fully automated in 1991, and today the entire operation can be managed by just two employees at a time.

In 1997, Grand Metropolitan merged with Guinness to form what is now Diageo. Guinness brought its own Canadian brands to the table having acquired Schenley Industries in 1987, so Diageo sought to divest parts of its over-stuffed portfolio by an anti-trust ruling in the US. The result was the sale of several Canadian assets, including Black Velvet and the Palliser distillery to Canandaigua Brands in 1999. The company renamed themselves Constellation Brands the following year to reflect their increasingly international portfolio.

By 2009, Constellation Brands had made the decision to concentrate all of their Canadian whiskey production at the distillery in Alberta, and Palliser was renamed the Black Velvet Distilling Co in the process, after its most popular brand. Sales over the next decade remained strong, and Black Velvet was consistently second only to Crown Royal as the best-selling Canadian whisky. However, its parent company was increasingly focussed on premium rather than volume labels, and in 2019 they sold the distillery and its associated products to Heaven Hill Brands.

1933
1946
1951
1962
1972
1973
1997
1999
2000
2009
2019

W&A Gilbey establish a distillery in Toronto, Canada.

First casks of Black Label Canadian whiskey filled.

Brand renamed Black Velvet and launched to public.

W&A Gilbey becomes IDV.

IDV becomes spirits division of Grand Metropolitan after acquisition.

Palliser distillery built in Alberta.

IDV merged with United Distillers to form Diageo.

Diageo sells Black Velvet brand and Palliser distillery to Canandaigua Brands.

Canandaigua Brands renamed Constellation Brands.

Palliser distillery renamed Black Velvet.

Black Velvet distillery and label sold to Heaven Hill Brands.

Active brands
Canadian Whisky

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