Eric
You can do the above as tony said, or put some good tires and coil overs on it and beat half the field out there. you dont need power to go around corners fast.
 
As an example, Adrian can do a 1.10 arround Wakefield park in his 3SGE SW20 (Approx 130whp). I could only manage a 1.16 with 250whp.

You would have been a lot faster with more practice. I managed low 1:16's with my Beams....

I've got the coilovers already sorted out, the ride is nice and flat. I'm studying engineering at uni so modding these things are a pretty fun little hobby. 
I've been looking into cams, there seems to be an okay deal from NZ for a new set for $900, too overpriced or is that the usual?
Also advancing the timing is something I saw in another thread. I'm happy to run 95/98 fuel so how advanced do you think I could take it?
I am not really thinking about a turbo swap yet, I have a little thing for NA...

Nitrous posts, love em :) All this talk of N2O makes me want to try it on my BEAMS 
 
Back in the days of 28k internet speeds, racing down Prinny every Friday and Saturday nights and no online information on EFI nitrous setups i started playing around with nitrous systems on my first car with some bits my friends dad had sitting around from his drag bike. It was parts from a NOS branded kit.
 
We worked out what worked and what did not by a suck it and see method by testing and reading the spark plugs and soldering the jets back up and drilling them smaller/larger to suit. We didn't even have enough coin to buy jets so no wideband or aftermarket ECU was in my budget!
 
Starting with 25hp jets and plenty of fails with melting plugs and the like we ended with a 2 bottle/single fogger  setup with 200-250hp worth into an engine that made about 150hp from factory. Pretty impressive if you ask me. I wish i had photos, but this is pre phone cameras. They weren't even colour back then.
 
What MCT mentions about timing tuning is correct. My rule was take out 1 degree of base timing for every 25hp of Nitrous "jetting" (the power values they give are conservative in most cases). Anything over 75hp and i had to have much colder plugs (even gap them differently on the centre cylinders due to crappy centre feed design inlet manifold). The car drove quite rubbish off the bottle like this however.
 
These days N2O is very cheap and there are lots of different setups you can purchase with great online information to boot. You can easily do the same but i am not sure it would be worth it for what you appear to want to achieve with your car?
 
Don't forget refill costs and legality.
 
 
 
Not my car but:-
 

 
 
 

kameleon
Nitrous posts, love em :) All this talk of N2O makes me want to try it on my BEAMS 
  
Don't forget refill costs and legality.
 

This post came up with a mod approval for posting, not sure why. But anyway, obviously legality for road use as pointed out by Kam would have to be taken into consideration by anyone wanting to do this type of stuff. Any sort of nitrous installation in NSW get an automatic red label defect AFAIK, probably the same in all of Australia. Any sort - read tanks, piping or whatever. Doesn't matter if it connected or not. It's a grounding and tow away job. 
 
You'd be silly to invest in this if you wanted it for the road in Australia, just wouldn't happen and you'd suffer the consequences of trying. But for track or drag - ooh yeah. We'd love to see it happen.

And I still say 2GR gives a ridiculous amount of power (read too much, S/C 2GR is totally nuts ((and can get engineering approval)).
 
Keep the authorities off your back by doing it the approved way. 
 
Supercars get approval for their uber power for being on the road, we can as well.