Jug of whisky consumed by royal with marijuana (8)

'jug' is the definition.
I know nothing about this answer so I can't tell whether it can be defined by this definition.

'whisky consumed by royal with marijuana' is the wordplay.
'whisky' becomes 'W' (phonetic alphabet: alpha, bravo, charlie etc.).
'consumed' becomes 'ate' (to eat is to consume food).
'by royal' becomes 'r' (abbreviation. I am not sure about the 'by' bit.).
'with' means one lot of letters go next to another.
'marijuana' becomes 'pot' (slang term for marijuana).
'w'+'ate'+'r'+'pot'='WATERPOT'

'of' acts as a link.

Can you help me to learn more?