Heineken, Diageo to Build Brewery in South Africa
Wednesday, 26 March 2008
AMSTERDAM: Heienken NV said it will build a new South African brewery in the Sedibeng area between Vereeniging and Alberton, south of Johannesburg. The brewery will be constructed and operated by Heineken and Diageo, which will own 75 percent and 25 percent respectively.

The Sedibeng brewery site covers 80 hectares. The brewery itself will have an initial capacity of 3 million hectolitres, with the built-in flexibility to expand.

It will brew a range of Heineken and Diageo brands including Heineken and Amstel, Heineken said.

Work is already underway on the site and construction is expected to be completed by the end of 2009, Heineken said, adding that a local Heineken management team will oversee the entire process.

A second site that was considered as a potential location for the brewery, in Ekurhuleni near the R21 at the Northeast of Johannesburg, is under consideration for other operations, Heineken said.

Financial details were not disclosed.

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