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UMeWorld Advances Project Verdant™ SCO Feedstock Deployment Strategy Through Strategic Investment

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UMeWorld (OTC: UMEW) signed an agreement to form a China-based microbial oil company focused on commercializing and deploying single-cell oil (SCO) as a future feedstock for its planned Project Verdant™ sustainable aviation fuel (SAF) hub in Malaysia. UMeWorld, through a wholly owned subsidiary, will own a 30% equity stake, with the balance held by China-based investment and technology partners.

The new company will operate from an existing 10,000-square-meter research and pilot facility in Foshan, Guangdong, where multiple pilot runs using 3,000-liter fermentation systems have been completed. Its strategy includes partnering with strategic and industrial players, establishing production projects and licensing SCO technology so that independently financed producers can build capacity without UMeWorld funding every plant.

According to UMeWorld, SCO from eligible residues could provide a more scalable alternative to used cooking oil, diversify Project Verdant’s long-term feedstock supply and support licensees with two potential revenue streams: renewable oil for SAF and a protein-rich fermentation co-product for regional aquaculture feed markets.

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Positive

  • 30% equity interest in new China-based SCO commercialization company
  • Access to existing 10,000 m² Foshan facility with prior 3,000-liter pilot runs
  • Licensing model targets SCO deployment without funding every production plant
  • Two-product output (SCO and protein co-product) designed to diversify licensee revenue
  • Strategy aims to reduce Project Verdant’s future reliance on used cooking oil feedstock

Negative

  • UMeWorld will hold a minority 30% stake, limiting direct control over the new company
  • Establishment of the new SCO company is still subject to incorporation, registration and other procedures
  • Commercial value of the protein-rich co-product depends on nutritional profile, feed performance and regulatory approvals

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Agreement formalizes UMeWorld’s previously announced SCO strategy and advances its southern China initiative from technology validation toward commercial deployment

MIAMI, July 23, 2026 (GLOBE NEWSWIRE) -- UMeWorld Inc. (OTCID: UMEW) (“UMeWorld” or the “Company”) today announced that it has signed an agreement to establish a China-based microbial oil company focused on the commercialization and deployment of single-cell oil (“SCO”). UMeWorld intends to establish SCO as an important future feedstock for Project Verdant™, the Company’s planned Sustainable Aviation Fuel (“SAF”) hub in Malaysia.

Under the agreement, UMeWorld, through a wholly owned subsidiary, will hold a 30% equity interest in the new company. The remaining interests will be held by the new company’s China-based investment and technology partners.

The parties will now proceed with the company’s incorporation, registration and commencement of its commercialization program.

UMeWorld will remain focused on advancing Project Verdant, while the new company will commercialize and deploy SCO technology and expand potential future feedstock supply. The strategic minority investment complements UMeWorld’s primary management and capital focus on Project Verdant by providing direct participation in SCO commercialization through a dedicated platform.

From Pilot Validation to Commercial Deployment

The new company will be based at an existing research and pilot facility of approximately 10,000 square meters in Foshan, Guangdong Province. The facility provides established infrastructure for process optimization and pilot-scale validation, where the technical team has completed multiple pilot runs using 3,000-liter fermentation systems.

Building on this foundation, the new company has been established to commercialize and deploy its SCO technology at scale. Its deployment strategy will include working with strategic and industrial partners, establishing production projects and licensing its technology to qualified independent producers.

This model is designed to support the deployment of SCO capacity across multiple independently financed and operated facilities without requiring UMeWorld or the new company to fund and own every production plant.

“This agreement moves SCO from a strategic feedstock initiative into an active commercialization platform for UMeWorld,” said Michael Lee, Chief Executive Officer of UMeWorld. “Through our ownership in the new company, UMeWorld now has direct participation in the commercialization and deployment of SCO technology. Our long-term objective is to secure access to sufficient volumes of SCO to support both phases of Project Verdant and progressively reduce—and potentially replace—Project Verdant’s reliance on used cooking oil.”

A Scalable Alternative to UCO

SCO is a renewable oil produced from biomass-derived sugars and can serve as a feedstock for SAF through the established HEFA pathway.

Used cooking oil (“UCO”) is an important SAF feedstock, but its availability is limited and demand is increasing. Under the European Union’s Renewable Energy Directive, UCO is classified under Annex IX Part B, whose contribution toward EU transport targets is generally capped at 1.7%. SCO produced from eligible agricultural and industrial residues offers a potentially more scalable alternative, subject to applicable traceability, greenhouse-gas and sustainability requirements.

Together, the China commercialization platform and UMeWorld’s planned SCO capabilities in Malaysia are intended to diversify Project Verdant’s future feedstock supply, reduce its long-term reliance on UCO and establish SCO as a primary renewable lipid feedstock for the SAF hub.

Two Revenue Streams for Licensees

The SCO licensing model is designed to provide producers with two potential revenue streams. In addition to renewable oil for the SAF supply chain, the production process generates a protein-rich fermentation co-product intended for regional fish and shrimp feed markets. Based on current process estimates, SCO and the protein-rich co-product are expected to be produced in broadly comparable quantities by mass.

The ability to commercialize both products is intended to diversify licensee revenue, reduce dependence on SCO pricing alone and strengthen plant-level economics. This two-product model is expected to improve the commercial attractiveness of future licensed production facilities by providing access to China and Southeast Asia’s large aquaculture industries and their continuing demand for alternative protein ingredients. Commercial value will depend on the co-product’s nutritional profile, feed performance and applicable regulatory approvals.

The establishment of the new company remains subject to completion of applicable incorporation, registration and other customary administrative procedures. UMeWorld will provide further updates as the company commences operations and advances its commercialization and deployment program.

About Project Verdant™

Project Verdant™ is UMeWorld’s planned Sustainable Aviation Fuel hub in Malaysia, targeting an initial production capacity of approximately 200,000 metric tonnes per annum, with potential expansion to approximately 400,000 metric tonnes per annum. The project is being advanced around a diversified feedstock strategy that includes conventional renewable lipids and scalable alternative feedstocks such as SCO.

About UMeWorld Inc.

UMeWorld Inc. (OTCID: UMEW) is focused on the convergence of industrial biotechnology and renewable fuels. The Company advances feedstock, fermentation and commercialization strategies designed to support the growing demand for Sustainable Aviation Fuel and other low-carbon energy solutions.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to future events or the Company’s future financial performance and involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied by such statements.

Forward-looking statements in this release include statements regarding the incorporation and proposed activities of the new company; UMeWorld’s expected 30% equity interest; the commercialization, financing and deployment of SCO; the intended licensing strategy; the establishment of independently financed production facilities; the suitability of SCO for SAF production; the expected benefits of SCO for Project Verdant; feedstock diversification and scalability; UMeWorld’s planned SCO capabilities in Malaysia; the reduction or potential replacement of UCO; the production, applications and commercial value of the protein-rich co-product; demand for alternative protein ingredients; and the future timing and capacity of Project Verdant.

Forward-looking statements may include words such as “believe,” “expect,” “anticipate,” “intend,” “plan,” “may,” “will,” “target,” “objective,” “designed” or similar expressions. These statements are based on current expectations and assumptions and are subject to risks described in the Company’s filings with the U.S. Securities and Exchange Commission.

The Company undertakes no obligation to update any forward-looking statements except as required by law.

Contact

Michael Lee
Chief Executive Officer
UMeWorld Inc.
investors@umeworld.com


FAQ

What did UMeWorld (OTC: UMEW) announce on July 23, 2026 about its SCO strategy?

UMeWorld announced an agreement to form a China-based microbial oil company, taking a 30% equity interest to commercialize and deploy single-cell oil (SCO). According to UMeWorld, this company will support SCO feedstock development for the planned Project Verdant™ sustainable aviation fuel hub in Malaysia.

How will the new China SCO company support UMeWorld’s Project Verdant (UMEW)?

The new company will commercialize and deploy SCO technology, aiming to secure future SCO volumes for Project Verdant’s two phases. According to UMeWorld, this is intended to diversify feedstock, progressively reduce reliance on used cooking oil and help establish SCO as a primary renewable lipid source.

What is single-cell oil (SCO) and why is it important for UMeWorld (UMEW) investors?

Single-cell oil is a renewable oil produced from biomass-derived sugars that can feed the SAF supply chain via the HEFA pathway. According to UMeWorld, SCO from eligible residues may offer a more scalable alternative to used cooking oil, supporting long-term feedstock availability for Project Verdant™.

Where will UMeWorld’s new SCO company be located and what facilities will it use?

The new SCO company will be based in Foshan, Guangdong Province, at an existing 10,000-square-meter research and pilot facility. According to UMeWorld, this site already supports process optimization and has completed multiple pilot runs using 3,000-liter fermentation systems for single-cell oil production.

How does UMeWorld’s SCO licensing model create two revenue streams for licensees (UMEW)?

The licensing model targets revenue from SCO and a protein-rich fermentation co-product. According to UMeWorld, both are expected to be produced in broadly comparable quantities by mass, with the co-product aimed at regional fish and shrimp feed markets to diversify plant-level income sources.

What conditions remain before UMeWorld’s new SCO company becomes fully operational (UMEW)?

The SCO company’s establishment is still subject to applicable incorporation, registration and other customary administrative procedures. According to UMeWorld, further updates will be provided as the entity commences operations and advances its commercialization and deployment program for single-cell oil technology.

How could SCO feedstock reduce UMeWorld’s reliance on used cooking oil for Project Verdant (UMEW)?

UMeWorld aims to secure sufficient SCO volumes to support both Project Verdant phases and progressively reduce used cooking oil dependence. According to UMeWorld, combining China commercialization with planned Malaysian SCO capabilities is intended to diversify feedstock and position SCO as a primary renewable lipid.