The Knockdhu distillery nestles under the dark, rounded peak of Knock Hill—Knockdhu meaning 'black hill'. It was the first malt whisky distillery commissioned by D.C.L. (Distillers Company Limited). Constructed in 1893-1894, the distillery focused on malt whisky production. The site was selected for its mountain spring water, proximity to prime barley-growing regions and inexhaustible supplies of quality peat, and its location near the Highland Railway line between Aberdeen and Elgin. The distillery's output was primarily used for Haig blends. A visitor in 1925 commented that the distillery was 'well-maintained', with a 'beautiful avenue' leading to 'neat buildings', plus a well-tended orchard of apples, cherries, and plums. Even then, the distillery was equipped with 'powerful lighting equipment'. In 1930, the distillery was transferred to S.M.D. (Scottish Malt Distillers) management. Knockdhu fell victim to the global recession of the early 1980s. It closed in 1983 and was sold to Inver House five years later. They released the first single malt bottling in 1990, then changed the brand name to 'an Cnoc' (see below). Inver House became part of ThaiBev plc, a leading Far East spirits company, in 2001.

The newly built Knockdhu is a very modern distillery. Its cooling equipment is among the most advanced in northern Scottish distilleries, and the manager and excise officers are provided with 'beautiful villas' and 'private bathrooms'. The distillery is located three miles east of Keith, on the very edge of the Speyside region, so some also classify it as part of Speyside. In 1960, a tractor replaced the horse-drawn carriage that transported goods between the distillery and the railway station. 'Everyone was very sad,' wrote one employee, 'especially the person who worked with the horses, having lost a dear friend.' Not long after Inver House took over the distillery, according to a gentleman's agreement, the distillery name remained Knockdhu, while its malt whisky name was changed to 'anCnoc' to avoid confusion with Knockando. The brand's positioning is youthful and artistic, focusing mainly on sponsoring art-related activities.