Tuesday, May 13, 2003

Brewing more Grain Belt Premium

Addition of two fermentation tanks allows Schell's to increase the

production of Grain Belt Premium

By KURT NESBITT

Journal Staff Writer

NEW ULM -- Many beer drinkers cheered a little more than one year ago when August Schell Brewing Company won the bid for Grain Belt Premium Beer because it kept their favorite beer alive and in the same state in which it started.

Those loyal to Grain Belt now have a second reason to cheer. Schell's just took steps toward increasing production of the 140-year old label when it added two stainless steel tanks to its production facilities Monday afternoon.

Workers opened a hole in the roof of one of the brewery's buildings, waited and watched patiently as the two 24-by-12, 11,100-gallon tanks were lowered into the building using a large hydraulic crane.

Once on the ground, a small group of Schell's workers, including brewery president Ted Marti, labored to push the tanks into place.

"We've got room for about six more and then we're about stuck," Marti said outside after the first tank was shoved into place.

Fermentation is one of the last stops a batch of beer makes before it goes into either bottles, cans or kegs.

Marti said the two tanks could be used in the production of any one of Schell's products but will most likely be used to increase the brewery's production of Grain Belt. The older, smaller fermentation tanks will be reserved for Schell's specialty brews.

Each tank will be able to hold enough to fill 119,059 bottles of Grain Belt.

Schell's purchased the entire Grain Belt line in August 2002 at an auction from Minnesota Brewing Company of Minneapolis after that company filed for Chapter 7 bankruptcy. Grain Belt Beer was produced in Minneapolis and then St. Paul since the late 1800s. It is widely considered to be the state's largest-selling homegrown beer.

Schell's was already bottling Grain Belt for Minnesota Brewing for nearly a year before the bankruptcy and was already making Grain Belt full-time when the recipe for the beer was handed off in Minneapolis in November. The move added seven jobs in New Ulm.

The New Ulm-based brewing company currently makes 15 beers under the Schell's label.

Marti said he expects the addition to be ready for full-time production in about two months. When asked if there were any further improvements coming, he said Schell's may be revamping its bottling speed but that won't require another expansion.

"In terms of adding on to production space, we're pretty much done," Marti said.

Marti declined to comment on how much the addition cost Schell's, but said, "It's enough, but it's worth the investment."