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Th reason I suggested using a swap device rather than an img is the ps3's hdd gets pretty backlogged without a swap, and adding the swap as another file for the hdd to read/write, would likely juyst slow things down even more.
As it is the way I have set this up, it runs as OtherOS did speed wise, has the same ram issues, but works just aswell.
As for the fat32 issue with the usb, you may need to add the device in /etc/fstab before it will mount. Google for adding a fat32 usb to the automount list.
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