A monokaryotic mycelium sheet producing system for creating a sheet of monokaryotic mycelial material. The mycelium sheet producing system includes a culture unit, a spore stock unit, a plating unit, a section unit, a sub-plating unit, an expanding unit and a colonization unit. The culture unit prepares a monokaryon culture. The spore stock unit grows a plurality of fruit bodies in sterile laboratory conditions to create a spore stock. The plating unit performs a peroxide-based spore rescue and a plating process. The section unit is adaptable to section robust hyphae. The sub-plating unit sub-plates and expands the robust hyphae onto a spawn grain master. The expanding unit subsequently expands the spawn grain master into appropriate production of spawn volume. The colonization unit is adaptable to perform a subsequent colonization of mycelium substrate thereby creating a substantially defect free sheet of mycelium.