Australian Oilseeds, Largest APAC Producer of Non-Chemical, Non-GMO “Cold-Processing” Vegetable Oil, Enters into Contract with Woolworths and Costco Australia.

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Australian Oilseeds Holdings (Nasdaq: COOT) has entered into contracts with Woolworths and Costco Australia to supply non-GMO cold pressed extra virgin canola oils, showcasing its commitment to environmentally friendly processing methods and high-quality products.

Positive

• AOI is the largest cold pressing oil plant in the APAC region, pressing strictly GMO-free conventional and organic oilseeds.
• The new contracts with Woolworths and Costco Australia are valued at approximately USD 3.5 million and USD 3 million, respectively, over the next eight months.
• AOI's proprietary cold pressed process results in higher quality and healthier oils that retain natural vitamins, antioxidants, and healthy omega fatty acids.
• The company's carbon footprint is 40-50% lower than conventional canola oil processors due to its environmentally friendly pressing and grinding processes.
• AOI is in discussions with other retail chains in Australia and the United States for the supply of its unique range of non-GMO cold pressed extra virgin vegetable oils.
• AOI commenced trading on the Nasdaq on March 22 under the ticker symbol COOT.

Negative

• None.

Market Research Analyst

The contracts Australian Oilseeds secured with Woolworths and Costco Australia represent a substantial revenue stream, with a combined value of 6.5 million over the course of the next eight months. This business development could have a positive influence on AOI's market share in the vegetable oil segment. As retailers like Woolworths and Costco prioritize stocking non-GMO and chemical-free products, AOI is positioned to meet this demand. The growth potential for AOI may not be solely confined to these contracts, as their discussions with other retail chains could further expand their distribution network. The environmental aspect of AOI's production process, which boasts a significantly lower carbon footprint, could appeal to an increasingly eco-conscious consumer base and impact investor sentiment positively.

Financial Analyst

Analyzing AOI's financial trajectory in the wake of these deals is crucial. With a contract value of 6.5 million over eight months, this equates to an average of 812,500 in additional monthly revenue. Investors should consider the impact of this on AOI's quarterly results and look for potential guidance updates in future earnings calls. The financial health of AOI could improve with these contracts, possibly affecting its stock price and investor confidence. It's important to monitor the cost structure of their proprietary cold pressing process to understand the margin profile of these products and how they contribute to the net income.

Sustainability Analyst

AOI's commitment to reducing their carbon footprint by 40-50% compared to conventional canola oil processors taps into the growing trend of sustainable investing. Investors are increasingly placing a premium on companies that demonstrate environmental responsibility. The proprietary cold pressing process not only has health benefits but also aligns with global sustainability goals, which can attract ESG-focused funds and investors. Over the longer term, AOI's sustainability measures may lead to operational savings and potential government incentives, contributing to both their corporate responsibility reputation and financial incentives.

~ Over the past 20 years, AOI has grown to be the largest cold pressing oil plant in the
APAC region, pressing strictly GMO free conventional and organic oilseeds ~

New York, NY and Sydney, Australia, April 25, 2024 (GLOBE NEWSWIRE) -- Australian Oilseeds Holdings Limited (Nasdaq: COOT) (“Australian Oilseeds” or “AOI”), the largest cold pressing oil plant in Australia and the APAC region, pressing strictly GMO-free conventional and organic oilseeds, through its subsidiary Good Earth Oils, today announced a new contract to supply Australia’s largest supermarket chain, Woolworths, with a range of non-GMO cold pressed extra virgin canola oils in all 960 stores across Australia. The new the contract value is approximately USD 3.5 million over the next eight months. Good Earth Oils has also secured a contract with Costco Australia valued at approximately USD 3 million to supply its non-GMO cold pressed extra virgin canola oil to Costco stores throughout Australia. Australian oilseed investments is also in discussions with other retail chains in both Australia and the United States for supply of its unique range of non-GMO cold pressed extra virgin vegetable oils that are processed without the use of harmful chemicals.

AOI processes oilseeds through a proprietary cold pressed process without the use of any chemicals, which results in the production of higher quality and healthier oils that retain natural vitamins, antioxidants and healthy omega fatty acids. AOI’s carbon footprint is 40-50% lower than conventional canola oil processors, as a result of its methods that are committed to environmentally friendly pressing and grinding processes. See more information at Australian Oilseeds website: www.australianoilseeds.au.

AOI commenced trading on the Nasdaq on March 22 under the Ticker symbol: COOT.

About Australian Oilseeds Holdings Limited

Australian Oilseeds Holdings Limited (the “Company”) is a Nasdaq listed Cayman Islands exempted company that, through its subsidiaries, is focused on the manufacture and sale of sustainable oilseeds (e.g., seeds grown primarily for the production of edible oils) and is committed to working with all suppliers in the food supply chain to eliminate chemicals from the production and manufacturing systems to supply quality products to customers globally. The Company engages in the business of processing, manufacture and sale of non-GMO oilseeds and organic and non-organic food-grade oils, for the rapidly growing oilseeds market, through sourcing materials from suppliers focused on reducing the use of chemicals in consumables in order to supply healthier food ingredients, vegetable oils, proteins and other products to customers globally. The Company has expanded its existing oil processing plant and is building an additional larger multi-seed crushing plant in Queensland. Over the past 20 years, the Company has grown to become the largest cold pressing oil plant in Australia and the APAC region, pressing strictly GMO free conventional and organic oilseeds.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains forward-looking statements of Australian Oilseeds Holdings Limited (the “Company”) that are based on the current beliefs of the Company’s management, as well as assumptions made by, and information currently available to, the Company. Such statements reflect the current views of the Company with respect to future events and are subject to certain assumptions, including those described in this release Should one or more of these underlying assumptions prove incorrect, actual results may vary materially from those described herein as “should,” “could,” “will,” “anticipate,” “believe,” “intend,” “plan,” “might,” “potentially” “targeting” or “expect.” Additional factors that could also cause actual results to differ materially relate to international crises, environmental and economic issues and other risk factors described in our public filings. The Company does not intend to update these forward-looking statements. The content of the websites referenced above are not incorporated herein. Forward-looking statements are only predictions. The forward-looking events discussed in this press release and other statements made from time to time by us or our representatives, may not occur, and actual events and results may differ materially and are subject to risks, uncertainties, and assumptions about us.

Contact 

CJPA Global Advisors
Earl Carr, CEO
Tel: (646) 428-5382

Australian Oilseeds Holdings Limited
666 Third Avenue, Suite 1702
New York, NY 10017
Attn: Kevin Chen, Director
Tel: (585) 678-1198

FAQ

What contracts has Australian Oilseeds Holdings (COOT) entered into recently?

Australian Oilseeds Holdings has entered into contracts with Woolworths and Costco Australia to supply non-GMO cold pressed extra virgin canola oils.

What is the approximate value of the contract with Woolworths?

The contract with Woolworths is valued at approximately USD 3.5 million over the next eight months.

How does AOI's cold pressed process differ from conventional methods?

AOI's proprietary cold pressed process results in higher quality and healthier oils that retain natural vitamins, antioxidants, and healthy omega fatty acids.

What is the environmental impact of AOI's processing methods?

AOI's carbon footprint is 40-50% lower than conventional canola oil processors due to its environmentally friendly pressing and grinding processes.

When did Australian Oilseeds Holdings (COOT) commence trading on the Nasdaq?

Australian Oilseeds Holdings commenced trading on the Nasdaq on March 22 under the ticker symbol COOT.