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The first Banff was built in Inverboyndie, Speyside in 1824 by James Mckilligan & Co. and changed hands three times before closing in 1862 after ten years of ownership by James Simpson & Son. James Simpson Jr. took over the name Banff and built a new distillery on a different site the follwing year. This new distillery started well, but much of the equipment and distillery buildings were destroyed by a fire in 1877. However, the warehouses and malting floor survived, and the distillery was up and running again only six months later.
