24/05/2012 (Bernama) - TSH Resources Bhd expects to spend between RM750 million and RM1 billion over the next five years to plant more oil palm and rubber to cater to its plantation business and to build more palm oil mills.

Chairman Datuk Dr Kelvin Tan said the projected capital expenditure would be financed from internally-generated funds.

"We always had a target of planting 6,000-7,000 hectares annually, between 4,000 and 5,000ha would involve planting of oil palm and 1,000 hectares rubber," he told a press conference after the group's annual general meeting today.

Tan said the group expects a double-digit growth a year for production of fresh fruit bunches (FFBs) for the next three years.

"Our FFB production grew at an average 34 per cent a year over the past three years from 2008 to 2011, mainly from our plantation in Indonesia. Eighty per cent of our oil palm trees are below maturity, which means these trees will continue to produce more FFBs year-on-year," he said.