Kelham Island Brewery was built in 1990 in the Beer Garden of the Fat Cat in Alma Street. The first brew was in September, making Kelham Island Brewery the first new independent brewery in Sheffield in almost 100 years. Using equipment purchased from the recently closed Oxford Brewery this allowed for full mash brewing of around 10 brewers barrels every week.
As demand increased the decision was taken to move to new premises and a purpose built brewery was constructed a short distance from the original brewhouse. The original brewhouse was converted to a visitors centre and in March 1999 the new brewery opened with a five fold increase in capacity to 50 brewers barrels.