Molson is to start production of Coors' Blue Moon beer for the US market from its Montreal brewery. The company said today (5 May) that this additional volume will drive a C$2m (US$1.6m) investment in upgrades to the brewery.

"The Molson-Coors merger will translate into very interesting opportunities for the Canadian breweries and their employees," said Daniel Pelland, chief brewing officer for Molson Canada.

"This transfer of Blue Moon volume to the Montreal brewery is the first phase of a larger plan to move more volume to our Canadian breweries."

Draught Blue Moon produced in Montreal will be in addition to the current Memphis brewery production volume. "This additional volume is required as a result of the fast-paced growth of the brand in the US market and the additional volume required for this summer," the company said in a statement.

Production is due to begin this month, once the planned Montreal brewery improvements are completed.