The lab on the main Dalki spaceship that they called home had been a lot busier ever since they had obtained the Dragon from Blade Island. The Jim clones, along with other Dalki, had been working on a number of different things.
After obtaining the Demon tier beast, they had focused on creating a number of new Dalki. They had an idea of the process from Jim's research, and there were also the clones that had his brain and memories from a certain point and time.
Rather than just creating any type of Dalki, they had been creating the new era of Dalki as Graham had called them. These were Dalki that were based on certain individuals from the humans that they had fought.
Using their DNA as a base structure, they were able to create more unique and stronger Dalki. As for all of those that would be considered a type of failure, they were sent to Graham and others for some training, though none of those Dalki ever came back.