Ok, I ended up taking my remastering instructions from the page below.
Most of the instructions weren't needed for my project, so I'll repost the steps below that I actually used.
I booted up to the dsl live disk iso in vmware with a virtual harddrive on IDE 0:1 that was formatted to ext2 for partition 1 and had enough space for the operation. As well as a swap partition for the live disk session to use on partition 2. The live disk should pick up the swap partition automatically.
I used hdb so it wouldn't confuse me with the backup operations which deal with "hda1"
To figure out how much space you need on hdb1, take the size of your backup file and double it, and then add another 150 to 200 megs.
If you're going to do this in a real situation (not in VMware) then you'll have to adjust the instructions below to reflect the actual partition you're going to use instead of hdb1, and the Samba portion of the instructions won't be necessary as you can just boot to your normal linux installation and burn the iso. So adjust this stuff as you need to for your specific case.
Ok... once the live disk is booted up, open up a terminal and put in the following commands.
mount /dev/hdb1 /hdb1
#note that from here on out everything is done from /hdb1 directory
mkdir source newcd newcd/KNOPPIX
cp -Rp /cdrom/boot newcd
cp -Rp /cdrom/lost+found newcd
cp -Rp /cdrom/index.html newcd
cp -Rp /KNOPPIX/* source
cp -Rp /KNOPPIX/.bash_profile source
Ok, at this point, the /hdb1/source directory contains the same info as whats on the original live disk.
So at this point, I minimize the terminal.
I download the samba.dsl extension from MyDSL so I can copy my backup file from where I saved it on my desktop machine.
I mount up my samba share, then open emelfm in root mode.
In the left panel I browse to my mounted shared folder, and in the right I go to /hdb1/source. The next step is to make a directory right pane called "backup" then enter it.
I then select my hda1backup.tar.gz file from the left pane and copy it to the right pane.
Once that is done, minimize emelfm as we'll use it again in a moment.
Now I open Beaver in root mode. Root mode may not be necessary, but it didn't hurt.
Using Beaver, open up /hdb1/souce/opt/bootlocal.sh
add the following line to it
save then open a new file.
Here' where the backup commands come in.
in the new file put the commands:
echo "Beginning restoration in 3 seconds"
# the next bit is similar to my earlier unpacking commands but
# reflects the new location of the backup file.
mount /dev/hda1 /hda1
tar -xvzf hda1backup.tar.gz -C /
# at this point in the script the restore is complete
# so it is time to reboot
echo "restoration complete"
echo "rebooting now"
Ok, once all that is in the untitled text file, in Beaver you need to save it as /hdb1/source/backup/backup.sh
Then bring emelfm back up and change the newly made text file's permissions to be executable by right-clicking backup.sh and selecting "Properties" then "Permissions" and pushing in the "exec" buttons and hittin apply or ok or whatever.
Now minimize emelfm again.
Ok, now its ready to be made into an ISO.
So we go back to the terminal which should still be parked at /hdb1.
put in the following two commands.
be advised it takes a little while.
mkisofs -R source | create_compressed_fs – 65536 > newcd/KNOPPIX/KNOPPIX
mkisofs -no-pad -l -r -J -no-emul-boot -boot-load-size 4 –boot-info-table -b boot/isolinux/isolinux.bin -c boot/isolinux/boot.cat -hide-rr-moved -o mydsl.iso newcd
When its done, it should poop you out a file called mydsl.iso in your /hdb1 directory.
Bring emelfm back up. The left pane should still show your samba shared folder. So just change the right pane to show /hdb1 and move your new ISO over to your shared folder.
Its is at this point that I made my snapshot in VMware.
Loading my iso up in vmware gives me the results I want, but it doesn't work unless dsl has been installed to hda1 already.
It never comes fully up to X, everything happens just before you'd normally log in on a HD install.
So I've got to work on the dd portion of the script and I'd like to improve the script itself with yes/no options and such.
Thats where I am right now.
I don't think I'll need to know grub after all, I hope that dd will take care of that. My head was just too scrambled last night to remember.
I'll give the bash stuff a good thorough look though.