OK, but the sequence must be other, your way will not work. 1. Copy original ISO with MATE to HDD via dd. 2. Boot from HDD with sessions support. At the first boot "alt-live-storage" partition will be created on HDD. 3. Apply your changes... OR: try to copy contents of the live-rw partition from the USB stick to alt-live-srorage ext4 partition on the HDD. Profit ;-)