From looking at both a PC install of Kobo Desktop 2.02, and the zipped  firmware 1.94 upgrade for a Kobo Touch it looks as if the dictionary is a series of files.
There is one binary file with an html extension for each pair of letters 
	Code:
	28/05/2011  11:08 PM             2,027 aa.html
28/05/2011  11:08 PM            19,517 ab.html
28/05/2011  11:08 PM            34,131 ac.html
28/05/2011  11:08 PM            24,400 ad.html
28/05/2011  11:08 PM             6,675 ae.html
28/05/2011  11:08 PM            11,401 af.html
28/05/2011  11:08 PM            13,319 ag.html
28/05/2011  11:08 PM             1,324 ah.html
28/05/2011  11:08 PM             9,060 ai.html
28/05/2011  11:08 PM               331 aj.html
28/05/2011  11:08 PM             1,087 ak.html
28/05/2011  11:08 PM            36,961 al.html
28/05/2011  11:08 PM            24,794 am.html
28/05/2011  11:08 PM            54,143 an.html
28/05/2011  11:08 PM               845 ao.html
28/05/2011  11:08 PM            22,460 ap.html
28/05/2011  11:08 PM             2,070 aq.html
 and then one large plain-text file that lists all the words
	Code:
	13/12/2010  10:21 AM         1,081,793 words
 On the PC they are located in (assuming default locations) either 
c:\Program Files\Kobo\dicthtml OR 
c:\Program Files (x86)\Kobo\dicthtml.