Hi Mathew,
It all looks okay (so I won't quote it all).
One thing I would say is that you probably want to make sure that
your block devices are just xvda, xvdb, etc. instead of xvda1,
xvda2, etc. Otherwise you will run into difficulties doing
"update-grub" after installing squeeze's kernel.
Fixing this involves you making sure that your VPS will boot by
LABEL or UUID, us shutting your VPS down, changing its config to use
xvda, xvdb, etc., and then booting it again for you.
Cheers,
Andy
--
http://bitfolk.com/ -- No-nonsense VPS hosting