A self-cooling and self dispensing beverage container in the form of a keg which includes a heat exchange unit having a plurality of segments of compressed carbon disposed therein. A valve is secured to a tube attached to the REU housing for carbon dioxide to adsorbed and then desorbed by the carbon for cooling the beverage. A dispense gas canister is disposed within the container to automatically release carbon dioxide to maintain a pressure head within the container sufficient to assure dispensing of the beverage.