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March 26, 2025 7:23 AM

Sydney Rum Distillery to call Muswellbrook home

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Sydney Rum Distillery

BY JESSICA ROUSE

Muswellbrook’s iconic Oak factory will sit empty no more, with emerging global premium spirits producer Sydney Rum Distillery (SRD) moving in.

The factory has changed hands many times over the years, but SRD has big plans to create and market premium Australian rum and brandy at scale in key global markets from the Upper Hunter site. It’s expected to be operational by mid-2025, saving the company three years by building a similar greenfield site elsewhere.

The SRD team said they are excited to bring their business to the region, creating up to 24 full-time jobs and providing substantial economic benefit to the Upper Hunter.

SRD CEO and master distiller Steve Magarry said they are excited to build on the Upper Hunter’s existing strong manufacturing agri-tourism capabilities.

“We recognise the heritage and history of the Hunter Valley Dairy Co-operative and local significance of the Oak brand. The iconic building has been a part of the town’s landscape since 1945.”

“We are the first movers in building premium at-scale Australian rum in rapidly developing global markets. So, we’re excited to announce the achievement of a significant milestone – the acquisition of a globally scaled distillery with a 10-million bottles per annum output, packaging, and barrel-maturation facility in the picturesque Hunter Valley.”

Sydney Rum Distillery

Mr Magarry added planning is underway to deliver an agri-tourism “destination” hospitality venue for local, interstate, and inbound international travellers.

Muswellbrook Shire Mayor Jeff Drayton said the Oak factory holds fond memories for Muswellbrook.

“As a council, we’re thrilled to partner with Sydney Rum Distillery to breathe life back into the site,” Mr Drayton says.

“It’s a rich part of our community where locals worked and connected for generations. To get that back, along with the jobs and tourism potential of the partnership, is a win for Muswellbrook Shire.”

The announcement today comes as Muswellbrook Shire Council also announces the Denman Wine, Food and Film will be back for 2025.

SRD will conduct an industry briefing and tour of the distillery on Friday 21 March. Registrations are essential and can be completed via the following link:


https://SydneyRumDistillery-OakFactoryBriefingandTour.eventbrite.com.au


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