@Matan
That is exactly the type of thing I was looking for. Thank you.
@hawhill
The set up i currently have is a 500mb ext3 image file on my user store (/mnt/us) this holds my optware installation hence my reluctance to use debian as it would require another 500mb image just to use latex. I was looking for a way to run linux either from user store as Matan's solution does using symlinks or by storing it on my image file.
On another note, I know this is off topic but is there any way to get the path to stick to whats been set as every time my kindle reboots i have to reenter it all again.
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