Bilyara expansion makes way for Penfolds relocation

An aerial shot of Treasury Wine Estate’s Nuriootpa operations which is set for expansion.

Treasury Wine Estate will invest at least $150 million on a major infrastructure boost of their Bilyara site at Nuriootpa over the next two years.

Once the expansion of the company’s luxury winemaking capacity is complete, it will result in the transition of operations at Penfolds Nuriootpa to Bilyara.

It is understood plans for the transition of operations to Bilyara are just commencing but in the short-term, operations at both the Bilyara and the Penfolds Nuriootpa winery will continue as usual.

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The Bilyara expansion, which includes additional one off charges of $35 million, has already had development approval with work to take place on unused land adjacent the existing winery infrastructure which the company already own.

Mr Angus McPherson, managing director, Treasury Wine Estate ANZ said the expansion of the luxury winemaking infrastructure at Nuriootpa will result in increasing the capacity by more than a third and meets the growing demand for their luxury wine brand portfolio.

“The proposed Bilyara expansion is a considerable investment and includes wine production infrastructure, the construction of additional barrel storage facilities and additional bottling equipment,” he said.

“We are going to build the single best, most luxury state of the art premium wine making facility in Australia and potentially one of the best in the world.”

He added it is one of the biggest developments made in a long period of
time and it sets the company up for future growth.