did you ever use some sort of efi bootloader or installer on that drive? there might be a corrupted efi bootloader install in the hidden efi partition. also is it an mbr install or gpt?
make sure your installing chameleon to the harddrive if not try a newer version. you might be missing the hidden file "boot" from the root of your volume
if you do a -v when you select the os install disk it should show you where its hanging up... if your using the "leppy" image with the 10.6.3 disc then the problem is most likely graphics... if you can use a mac and have a bootable thumb drive then just install chameleon to the thumb drive install edp to it build for your machine on the thumb drive and use that to boot might as well copy the edp.pkg to it as well for later install to the partition
i don't understand... have you already installed osx to the hard drive? if so you need to put the disc back in to boot then install chameleon and edp once osx finishes the install
try a different smbios like macbookair1,1 or macbook2,1 for coolbook. if you look at the info.plist in the app iokitpersonalities i think shows compatible smbios id's
case sensitive makes more problem then its worth unless your running a server. causes alot of weird issues too like kexts not loading if there name structure is not correct and chameleon commands not responding properly.
if you can post your specs in your signature it will help with troubleshooting down the road. depending on which latitude you have there are variants of intel and nvidia so you need to know this. check in windows or linux. when you build edp 1.8 wich works with 10.6.7 update. also has selections for specific variants of latitudes like d620-intel option=4, d620-nvidia option=5 so make sure to build for correct machine. edp 1.8 has a compatible chameleon so you might want to use it... you can go higher if you find it... i think chameleon is at 927 as of last night
then try a different smbios.plist. i am using macbook2,1 because it is similar to my d620 hardware wise... Graphics /processor family. if you open the contents of coolbook you will see a list of supported macs in the plist file
try one of the newer chameleon bootloaders from here then use chameleon prefpane or lizard app or manually edit com.apple.boot.plist in extra with graphics enabler=yes generate p-states=yes generate c-states=yes
also you might need graphics kext in e/e or replace the one in s/l/e in EDP graphics are patched in DSDT (try searching for DSDT editor app it has patch for 950). that might be the reason for gray screen (needs graphics or graphics injection) the link you provided also says something about hanging because it says you need to patch appleyukon.kext for lan.