A Scottish distillery has signed an agreement to use its whisky “leftovers” to produce fuel for cars.

Tullibardine, an independent malt whisky producer, will be working with Celtic Renewables, which has developed a way to convert the residues of the drink into a type of advanced biofuel called buobutanol. This could be used to power petrol or diesel vehicles.

The project, which is claimed to be the first of its kind in Scotland, will use the “leftover” grains after the whisky making process called “draff” and pot ale. They are currently used as food for cattle or safely disposed into the sea, which costs the distillery around £250,000. Currently, around 97% of its whisky by-products are disposed of after production.

Professor Martin Tangney, Founder and Chief Scientific Officer at Celtic Renewables said: “Our partnership with Tullibardine is an important step in the development of a business which combines two iconic Scottish industries – whisky and renewables. This project demonstrates that innovative use of existing technologies can utilise resources on our doorstep to benefit both the environment and the economy.”

The company will be building a processing plant, which is being supported by a £155,000 grant from the Scottish Government’s Zero Waste Scotland initiative.