Rooted and booted bitches yeaah!
Big props to Dal, a real patient guy with excellent knowledge on what hes doing.
It took a little longer than expected, but i discovered where i went long last time.
Renaming the RA-dreaimg-recovery file to just recovery.img solved it and im now running cyanogens latest
Apps2sd is also on there (aparently) and and my next lesson is on choosing and flashing roms.
Already had a a little glimpse of what custom roms can offer and cant wait to try more.
Once again, thanks Dal your a true gent!