[noggin]

Yep - the thing to remember about milhouse build downloads is that you need an already working OpenElec set-up to update, they aren't images you can write to a disc to create an initial OE install. If you are starting from scratch, download a disc image from the Openelec.tv site and boot from that, then copy the milhouse stuff to the Update folder via SMB and reboot. When you reboot OE will see the update stuff, decompress it and install it and then reboot again into the new version.