Diageo has announced major expansion plans for the Glen Ord distillery on the Black Isle which will see production capacity increase by 5m litres a year.

The drinks conglomerate is expected to submit a planning application to the Highland Council.

The project will see the number of fermentation vessels and copper stills double, bringing the total volume of production to 10m litres.

Glen Ord is just one of the many Scottish whisky distilleries owned by Diageo. The company has said it is investing £1bn in whisky production over five years.

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The investment programme was announced in June. Diageo is aiming to expand one half of its 28 malt whisky distilleries as well as build a brand new one.

The drinks firm has already lodged three pre-planning applications in the past month which will see the development of Teaninich, Ross-shire, and two Speysides; Glendullan and Inchgower.

Brian Higgs, Diageo's director of malt distilling, said: "Over the next few months we will be bringing forward a number of planning applications to increase capacity at our existing distilleries and the Glen Ord expansion is an important part of that programme."

Diageo has announced strong sales in China and south-east Asia during the third quarter of this year.

Other markets are proving not so lucrative for Diageo, including South Korea and France; the latter having raised alcohol taxes.

Stronger growth was reported in the Caribbean and eastern Europe and US sales were up 6%.

(IT)