However, trying to use installer from within that expanded image will cause you more grief
Yeah i didnt think of that at first
OTOH, DD can copy anywhere - (far better than use of TAR) ~ be advised, DD will faithfully copy entire partition content, size etal
So how about partitioning the second drive at about a gig or so for a first small partition, using dd to put the iso image on that first partiton, configuring the bios to boot from that drive, doing the install and installing grub or lilo on the mbr of the first harddrive (/dev/hda)?
Do you think something like that might work?