In June, the company said it was looking for a building to house the brewery, which was also to include a tap room and retail outlet.
Moosehead says it reached the decision after a re-evaluation of the overall project costs. It says it become apparent that the project could not be done within the planned budget.
The company says it will take a few months to “develop alternate plans” but gave no further details.
Moosehead president and CEO Andrew Oland says the company remains committed to expanding its capacity to brew beer in small batches.
The company operates a large brewery in Saint John, and owns a smaller operation in Ontario called Hop City Brewing Co.
“The intention of our proposed brewery was for Moosehead to expand its small-batch brewing capability and to have a place to show our passion for beer,” said Oland in a news release.
“That goal has not been lost and we will now take a few months to re-group and develop alternate plans.”