28/07/2012 (Bernama) - Plantation company, Kim Loong Resources Bhd, has allocated about RM10 million for research and development (R&D) to drive its downstream business forward.

Its executive chairman, Gooi Seong Lim, said considering the high land prices, the group would not be actively looking to expand its landbank. Nevertheless, he said, the company has set aside fund for land acquisition if the opportunity arose.

"We aim to make this business sustainable by shifting our focus on the downstream sector to make something useful from the palm oil waste, such as developing our biogas power generator and other uses of biomass," he told reporters after the group's annual general meeting here today.

Gooi said the group was eyeing something more higher-end, such as cellulose fibre, which could be used to make paper and fabrics.

The group has 4,000 hectares in Sarawak which had yet to be utilised due to a court case involving the natives there, he said.