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The Captain Morgan’s rum distillery planned for St. Croix will release no molasses or other effluent into the sea, instead converting it to organic solids suitable for soil enrichment, Diageo officials told the V.I. Coastal Zone Management committee Wednesday. They outlined measures being taken to make the distillery both efficient and low-impact, and emphasized their commitment to hire and train locally.

Although the plant will be able to produce 20 million proof gallons of rum a year, it’s designed to release no water and no effluent, said Dan Kirby, vice president of Supply, Diageo U.S. Virgin Islands.

Read about the green plans at OnePaper. The agreement with Diageo will bring approximately $2.9 billion in new excise-tax revenues into the government’s coffers throughout the life of the agreement, according to Government House. Rum production is expected to start in 2012, with the distillery producing an average of 20 million-proof gallons each year.

The CZM committee members must rule on the permit application within 30 days.