Banff Distillery: A Lost Treasure of The Highlands

01 August 2025 Rebecca Marshall 7 min read

Among Scotland’s long-lost distilleries, few hold the same sense of intrigue as Banff. Once a pioneering name in the northern Highlands, Banff produced whisky of such quality that its rare surviving single malts are now highly prized by collectors and enthusiasts. Though it was primarily a supplier of malt for blends, its story - shaped by fire, war, innovation, and eventual closure - continues to capture the imagination of whisky lovers.

Founded in 1824, Banff’s history is as dramatic as it is distinguished. Fires, bombings, and explosions punctuated its existence, culminating in its final closure in 1983. Yet despite this turbulent legacy, Banff played a crucial role in shaping the whisky-making reputation of the northern Highlands, and its surviving bottlings remain a remarkable testament to the distillery’s quality.

There are very few bottlings of Banff, however, it's known for its distinctly old-style Highland character, often slightly oily with soft smoke, nuttiness, perfume and notes of apples and pears.
It wasn’t a showy whisky, but it quietly won the heart of many old-style whisky enthusiasts.

Joe Wilson, Auction Curator, Whisky Auctioneer

Early Beginnings

James Eadie, Distilleries of Great Britain and Ireland (1922–1929)

Banff, originally known as the Mill of Banff Distillery, was established in 1824 by James McKilligan along the banks of the Moray Firth at The Mains of Colleonard. Its founding came at a transformative moment for Scotch whisky. Just a year earlier, the Excise Act of 1823 had been passed, which finally legalised distilling and began to stamp out the widespread illicit production of “moonshine” that had dominated the Highlands.

The legislation, Alfred Barnard later observed, “relieved Distillers from many vexatious trammels and unwise regulation to which the trade had previously been subjected” (Barnard, Whisky Distilleries of the United Kingdom, 1887, p.86). This new legal framework paved the way for distilleries like Banff to establish a legitimate reputation, elevating both their own standing and that of the Scotch whisky industry as a whole.

Fires, Relocation and Innovation

In the mid-19th century, Banff came under the ownership of James Simpson Sr. and later his son James Simpson Jr., who moved the distillery to Inverboyndie, a site closer to the railway line and to natural springs at Fiskaidly Farm. The move improved logistics and access to vital water sources, but Banff’s notorious run of bad luck soon became apparent.

The first major fire struck in 1877, devastating much of the distillery except for the warehouse. It was rebuilt on a more modern plan, and a fire engine was even kept on site in an attempt to prevent future disasters.

Barnard described the rebuilt distillery in detail during his tour:

The Lofts can store nearly 5,000 quarters of barley, and the Malthouses are conveniently arranged with respect to these buildings and the Kiln. Contiguous is the Mill building, Grist Loft, Mash House, Tun Room, and Distillery.
The process of manufacture is the same as those already described in the Highlands. The Still House contains three old Pot Stills, one Wash Still, and two Lowwines Stills… The Whisky is Highland Malt, and the annual output is nearly 200,000 gallons.

- Alfred Barnard, Whisky Distilleries of the United Kingdom (1887)

Banff also pioneered unique production innovations later on. As recorded in Distilleries of Great Britain and Ireland (1922–1929) - a landmark publication from James Eadie Ltd -, it was the only Scottish distillery at the time to use a suction pump system that transported dried malt from the kiln to the mill - a mechanism operating on the “vacuum cleaner principle.” This cutting-edge technology, manufactured by Messrs. King of Northampton, distributed the malt efficiently and was praised for its effectiveness.

James Eadie, Distilleries of Great Britain and Ireland (1922–1929)

War Time Bombings and More Explosions

In 1921, the Simpson family sold part of their interest in Banff to a subsidiary of Taylor Walker. Three years later, the distillery shifted from triple to double distillation. In 1932, it was purchased by Scotch Malt Distillers, a subsidiary of DCL (later Diageo). Production ceased during the Second World War, though its warehouses were still used to mature stock.

On 16 August 1941, Banff suffered a devastating blow when a German air raid bombed the distillery’s warehouse. The explosion caused casks to roll into the nearby river, and local farmers later reported their cows becoming drunk after drinking the whisky-laden water.

Tragedy struck again in October 1959 when an explosion during restoration works destroyed much of the still house, including the spirit safe.

Banff is quite a sought after closed distillery as the liquid quality is highly regarded but it was accident prone and quite regularly closed. Some single malt was bottled in the late 19th century and early 20th century as 'Old Banff' for the House of Commons bar, but it has never been marketed publicly as a single malt.
As such, most of the whisky it produced was used in blends and all except one bottling of its single malt is by independent bottlers.

Joe Wilson, Auction Curator, Whisky Auctioneer

The Final Chapter

Like many distilleries, Banff struggled during the so-called “whisky loch” of the late 20th century. In 1983, it was mothballed by DCL, and most of its buildings were demolished in 1991. Fittingly, given its fiery history, Banff’s story ended with one last blaze: just before the final warehouses were to be torn down, they caught fire.

Yet the spirit of Banff lives on. Some stocks survived, and its whisky continued to appear in independent bottlings, cherished for their exceptional quality and scarcity.

The sole official bottling - of which we have two in our August auction - is the Rare Malt (a 1982 vintage bottled in 2004, 21 years after it shut). There doesn't appear to be any left in the Diageo warehouses so this will remain the sole official bottling and is highly collectible as a result.

Joe Wilson, Auction Curator, Whisky Auctioneer

Alongside this rare official bottling, our monthly auctions at Whisky Auctioneer present an exceptional opportunity to discover and find some rare independent releases of this lost distillery from revered bottlers such as Douglas Laing, Signatory Vintage and the Scotch Malt Whisky Society. A particular highlight is the Banff 1975 35 Year Old bottled as part of Douglas Laing’s Old & Rare series. Reviewed by Serge Valentin of WhiskyFun.com in 2011, it received an impressive 90 points at the time and was praised as an archetypal example of Banff – a whisky that’s becoming rarer and rarer.

The Banff Legacy

Banff’s story is one of resilience, innovation, and misfortune - a distillery that refused to be forgotten despite the odds. Today, its whiskies stand as a rare link to a lost chapter of the Highland whisky history. With only one official bottling and limited surviving stock, each bottle represents not just a fine dram, but a piece of whisky heritage.

This month’s auction offers collectors a unique opportunity to secure that legacy - a chance to savour the spirit of a distillery that, though gone, remains unforgettable.

Whisky Auctioneer regularly welcomes rare and collectible Banff whisky expressions in our monthly auctions. Browse all of our past Banff whisky lots or contact us if you are interested in selling a bottle of Banff.