Key Takeaways
- UMeWorld has signed an agreement to establish a China-based microbial oil company to commercialize single-cell oil (SCO) as a future feedstock for Project Verdant, its planned Sustainable Aviation Fuel hub in Malaysia.
- UMeWorld will hold a 30% equity interest in the new company through a wholly owned subsidiary, with the remainder held by China-based investment and technology partners.
- The new company will be based at an existing 10,000-square-meter pilot facility in Foshan, Guangdong Province, where the technical team has completed multiple pilot runs using 3,000-liter fermentation systems.
- SCO production also yields a protein-rich fermentation co-product aimed at regional fish and shrimp feed markets, giving future licensees two potential revenue streams.
UMeWorld Advances Project Verdant SAF Strategy
UMeWorld has signed an agreement to establish a China-based microbial oil company focused on commercializing and deploying single-cell oil, which the company intends to establish as an important future feedstock for Project Verdant, its planned Sustainable Aviation Fuel hub in Malaysia. Under the agreement, UMeWorld will hold a 30% equity interest in the new company through a wholly owned subsidiary, with the remaining interest held by China-based investment and technology partners.
From Pilot Validation to Commercial Deployment
The new company will be based at an existing research and pilot facility of about 10,000 square meters in Foshan, Guangdong Province, where the technical team has already completed multiple pilot runs using 3,000-liter fermentation systems. Its deployment strategy will involve working with strategic and industrial partners, establishing production projects, and licensing its technology to qualified independent producers — a model designed to support SCO capacity across multiple independently financed facilities without requiring UMeWorld to fund and own every plant.
A Scalable Alternative to Used Cooking Oil
SCO is a renewable oil produced from biomass-derived sugars that can serve as a Sustainable Aviation Fuel feedstock through the established HEFA pathway. Used cooking oil is an important SAF feedstock today, but its availability is limited and demand is rising; under the European Union's Renewable Energy Directive, used cooking oil's 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 traceability and sustainability requirements.
Executive on the Investment
“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.”
Two Revenue Streams for Future Licensees
Beyond 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, with SCO and the co-product expected to be produced in broadly comparable quantities by mass. UMeWorld said the two-product model is designed to diversify licensee revenue and strengthen plant-level economics by tapping China and Southeast Asia's large aquaculture industries. Project Verdant is targeting initial production capacity of about 200,000 metric tonnes per year, with potential expansion to roughly 400,000 metric tonnes per year.
