Scapa Distillery, Kirkwall
There has been a whisky distillery here at Scapa since 1885. The water is taken from the nearby Lingro Burn, and the spirit is unusual for an island whisky in that the malt is not smoked over a peat fire. The distillery resumed full-time production in 2004, and all the spirit goes to become Scapa 16 yr old single malt whisky.
More information can be found here http://www.scapamalt.com/