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Distilleries are drowning in grain slop. Here's the fix.

Hey Barrelhead 🥃

Kentucky's bourbon boom just hit a wall nobody saw coming.

Distilleries are producing twice as much whiskey, but the leftover grain has nowhere to go. The solution? Turn bourbon waste into fuel that could power half the state.

Here's why this matters more than you think...

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TOP SHELF

Kentucky's Bourbon Waste Problem Just Became Its Biggest Energy Play

Some University of Kentucky nerds just figured out how to turn your favorite bourbon's leftovers into fuel. And it might save the entire industry from drowning in its own success.

The Stillage Crisis Nobody's Talking About

Here's the problem: Kentucky bourbon production is set to double in the next five years.

Sounds great, right?

Not when you realize what that means for stillage — the grain slop left over after distillation.

For decades, distilleries dumped this stuff on farmers as cattle feed. Easy solution. Everybody wins.

Except Kentucky's cattle population just hit its lowest point since 1962.

Do the math: Double the bourbon production + half the cattle = a metric shit-ton of grain waste with nowhere to go.

Enter the Science Geeks

Tyler Barzee and his crew at UK's Martin-Gatton College of Agriculture aren't your typical bourbon experts.

They're the ones who looked at mountains of bourbon waste and thought: "What if we turned this into energy?"

Their weapon of choice? Anaerobic digestion — a fancy term for letting bacteria break down organic material in oxygen-free tanks to create biogas.

The same process wastewater plants have been using for years. Except now it's powering bourbon distilleries instead of treating sewage.

The Mash Bill Makes the Gas Bill

Here's where it gets interesting for bourbon heads.

The team discovered that different grain combinations produce different amounts of methane and CO2.

Translation: Your high-rye mash bill creates different biogas than a wheated bourbon. Which means distilleries could theoretically optimize their energy production based on their recipes.

Imagine telling your bourbon group: "Yeah, this bottle not only tastes incredible — the leftover grain from making it is heating someone's house right now."

Why This Actually Matters

For the Industry: Bourbon's biggest names are already jumping on this. Larger distilleries are installing digesters to convert stillage into biogas that runs their operations.

It's not just good PR. It's survival. As production scales, waste management becomes an existential problem.

For Kentucky: The state's positioning itself to lead in both bourbon production and renewable energy. The Kentucky Energy and Environment Cabinet is funding this through their "Kentucky Distilled Spirits Industrial Decarbonization and Sustainability" initiative (try saying that three pours deep).

For You: Your favorite distilleries won't be drowning in their own byproducts. Production can keep scaling. Allocations can keep flowing.

Plus, you get the flex of knowing your bourbon hobby is accidentally funding renewable energy research.

The Hydrogen Play

The UK team isn't stopping at biogas.

They're also testing hydrogen as a co-fuel to further slash carbon emissions from distillery operations.

Hydrogen burns clean. Mix it with traditional fuels, and you cut the carbon output without rebuilding entire distillery heating systems.

It's the kind of forward-thinking that keeps bourbon competitive while everyone else argues about climate policies.

Rick's Final Thought

Kentucky's bourbon industry just turned its biggest waste problem into its next energy source. That's not just innovation — that's the kind of strategic genius that built this industry in the first place.

Your favorite pour might soon be carbon-neutral. And the leftover grain from making it could be powering your neighbor's furnace.

Heritage meets sustainability. Tradition meets innovation.

And somehow, bourbon keeps getting more interesting

POUR DECISIONS

LAST CALL

In January 2026, Jim Beam announced it would shut down production at its historic Clermont, Kentucky distillery for one year. How many gallons of bourbon does Jim Beam produce annually at this location?

  • 2 million gallons

  • 8 million gallons

  • 15 million gallons

  • 26 million gallons

Correct answer: 8 million gallons

Jim Beam — the biggest bourbon producer in the country — just hit pause on its main distillery in Clermont for an entire year. We're talking about the place that's been pumping out liquid gold since 1795.

And they're shutting down 8 million gallons worth of annual production.

That's not a typo. 8 million gallons.

But wait — didn't answer D say 26 million? Yeah, because that's Beam's total annual output across all their facilities. The Clermont distillery handles about 8 million of that haul.

Now here's where it gets spicy: bourbon has to age at least four years (usually more). Which means the entire 2026 production year at Clermont just vanished from the market for 2030-2031.

Beam's calling it "inventory rebalancing." Translation? They made too much juice during the bourbon boom and now they're course-correcting before warehouses start looking like that hoarder episode where the guy collects newspapers.

The visitor center stays open. The Fred B. Noe craft facility keeps running. And the Boston, KY plant picks up some slack.

But make no mistake — this is the biggest bourbon brand in the world admitting the party's over and it's time to clean up.

Your move, secondary market speculators. 🥃

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