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Craft Brewery Improves Product Quality, Cuts Costs 58%

Right-sized nitrogen system handles seasonal demand variations perfectly

4 min read

The Challenge

A well-established Sacramento craft brewery producing 15,000 barrels annually was facing rising nitrogen costs and operational challenges:

Nitrogen applications:

  • Can and keg purging (oxygen elimination)
  • Widget beer production (nitro stouts and porters)
  • Packaging line pressurization
  • Tank blanketing and transfers
  • Draft system pressurization

Problems with delivered nitrogen:

  • Inconsistent supply impacting quality
  • High costs during peak production (summer/fall)
  • Seasonal demand variations made sizing difficult
  • Multiple cylinder deliveries per week during busy season
  • Quality concerns with oxygen contamination

Annual nitrogen cost: $32,400 (delivered cylinders)

“We were going through 8-12 cylinders a week during peak season and maybe 3-4 in winter. The cost was killing us, but worse was worrying about running out during a canning run and ending up with oxidized beer.”

— Head Brewer

Our Measurement-First Approach

Craft breweries have unique seasonal demand patterns that standard sizing calculations miss. We measured actual consumption across a full production cycle:

90-day data logging revealed clear patterns:

Peak Season (July-October):

  • Average demand: 68 SCFM (high production volume)
  • Peak during canning: 95 SCFM (4-6 hour runs, 2-3x per week)
  • Daily usage: 16-22 hours of nitrogen needed

Off-Season (November-March):

  • Average demand: 28 SCFM (reduced production)
  • Peak during packaging: 55 SCFM (smaller runs)
  • Daily usage: 8-12 hours typical

Shoulder Season (April-June):

  • Gradual ramp-up: 35-50 SCFM average
  • Building inventory for summer demand

Critical insight: A system sized for peak demand would be massively oversized 60% of the year, but too small would create the same supply problems they already had.

The Right-Sized Solution

We designed a system that efficiently handles seasonal variations:

  • Primary generator: 80 SCFM membrane system (99.5% purity)
  • Smart turn-down: Efficient operation at 30-100% capacity
  • Purity perfect for brewing: 99.5% eliminates oxygen contamination
  • Pressure control: Optimized for packaging equipment
  • Buffer storage: 240-gallon receiver tank smooths peak demands
  • Backup cylinder connection: Insurance for rare extreme peaks

Investment: $32,400 installed

  • Operating cost: $13,600/year (electricity, maintenance, monitoring)
  • vs. Delivered nitrogen: $32,400/year
  • Annual savings: $18,800/year

Results & ROI

Financial Impact:

  • Operating savings: $18,800/year
  • Consistent costs year-round (no seasonal spikes)
  • Payback period: 21 months
  • 5-year savings: $94,000
  • 10-year NPV: $156,000

Quality Improvements:

  • Zero oxygen contamination issues (previously 2-3 batches/year affected)
  • Consistent nitrogen purity for widget beers
  • No rushed packaging due to nitrogen concerns
  • Better shelf stability and product consistency

Operational Benefits:

  • Package when you want, not when nitrogen arrives
  • No delivery scheduling or coordination
  • No cylinder storage taking up brewery floor space
  • Can take on contract canning work confidently
  • Eliminated “cylinder anxiety” during big releases

The Quality Factor

Beyond cost savings, consistent nitrogen improved their beer:

Before: Delivered Nitrogen

  • Occasional quality issues from low cylinder pressure
  • Rushed packaging when running low
  • Inconsistent purge quality
  • 2-3 batches per year with shelf-life concerns

After: On-Site Generation

  • Consistent purity every packaging run
  • Relaxed packaging schedule = better QC attention
  • Zero oxidation issues in 12+ months
  • Confident shelf-life predictions
  • Better customer reviews and lower returns

“The ROI was good on paper, but the real win was product quality. We haven’t had a single oxidation issue since installation. Our shelf life improved, our ratings improved, and we can focus on brewing instead of worrying about nitrogen.”

— Head Brewer

Seasonal Efficiency: The Right-Sizing Advantage

What if they’d bought an oversized system?

A 150 SCFM system (typical vendor recommendation with “safety margin”):

  • Capital cost: $52,000 (61% more expensive)
  • Energy waste in off-season: ~$3,000/year (operating inefficiently)
  • Longer payback, same capacity when actually needed

Our measured approach:

  • Perfect capacity for actual peak demand
  • Efficient operation at all production levels
  • Lower capital cost, faster payback
  • Same reliability and quality

Key Takeaway

“Craft breweries have wild seasonal swings. The national vendors wanted to sell us a huge system ‘just to be safe.’ The data logging showed we needed half that size. We saved money upfront, we save on power year-round, and the beer is better. That’s a win-win-win.”

— Owner/Brewmaster

Industry: Craft Brewing & Beverage Location: Sacramento, CA System Type: Membrane (99.5% purity, perfect for brewing) Installation: Q1 2024


Is your brewery paying too much for nitrogen?

Craft breweries have unique demand patterns that standard sizing calculations miss:

  • Seasonal production variations
  • Packaging day peak demands
  • Off-season low usage
  • Special release volume spikes

Free assessment includes:

  • 60-90 day data logging across production cycles
  • Seasonal demand pattern analysis
  • Peak packaging day measurement
  • System sizing for efficiency at all production levels
  • ROI calculator with your actual usage

Schedule Your Free Assessment or call (916) XXX-XXXX

Ready to Learn More?

Schedule a free assessment to see how much you could save with right-sized nitrogen generation.

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