The AD facility features Clearfleau’s advanced technology to convert the creamery’s whey permeate into bio-methane which will be used by the factory and the local gas grid network.

Planned to commence operations in early 2016, the facility is said to be the largest on-site AD plant in the European dairy sector.

First Milk has earlier selected Lake District Biogas (LDB) to manage the project. LDB later commissioned Clearfleau to build and operate the bio-energy plant.

As part of the project, Clearfleau initially upgraded the existing aerobic plant to reduce levels of phosphate in First Milk’s effluent, which is discharged to the River Ellen.

First Milk director Chris Gooderhamsaid: "By utilising the very best technology from Clearfleau, First Milk will reduce the cost of handling the creamery’s production residues, while generating renewable energy for use on site.

"Therefore the new AD plant is more efficient, produces much lower greenhouse gas emissions, as well as reducing off-site transport of residues and making better use of the whey permeate."

The company has appointed Renewables Unlimited to manage the project budget.