Origin
Palo Cortado is a special type of sherry that can best be described as a blend of Amontillado and Oloroso. No one knows how or why it was produced to begin with, but it is thought that the original Palo Cortado was created by "accident". Nowadays, some companies mix Oloroso with Amontillado and call the result Palo Cortado.
Production and post-treatment
The real Palo Cortado spends the first part of its maturation period under a protective layer of pile in the barrel. At this point, it is still maturing as an amontillado. During further maturation, the flor layer is destroyed by renewed splashing, and the sherry then matures oxidatively. During this process, more brandy is added and the alcohol content is raised to about 18%. This newly added alcohol destroys the pile layer and allows the sherry to mature more in the oloroso direction.
Effect on the taste
Palo Cortado Sherry has characteristics of Amontillado and Oloroso. However, the fresh, dry notes of the Amontillado are more apparent on the nose. The taste is usually dominated by the dark, fruity Oloroso flavours that emerge during the oxidative phase of maturation.