This has probably been covered somewhere, but I've yet to find it, so
here goes:

I've a Netware 6.5 server that boots from a what is now a largely unused
(except for C: and SYS:) virtual drive on a Xiotech SAN. The "largely
unused" space is where the old VOL1 used to live. VOL1 is now in its
own pool and volume in another virtual drive on the Xio.

All the volumes and C: were carved out of the single drive space that
was originally configured for the server, and I would like to recover
that 135GB of space that is now unused. It would be nice if I could
just shrink it, but that's not an option. I'm going to have to create
new disk space for C: and SYS.

Shall this be the procedure:?

Create new drive space for C: and SYS:
Down the server.
Change the LUNs so that the new drive space is LUN 0
Boot from the NW65SP6 install CD.
Create the DRDOS partition on the new space, format it and install
DRDOS. Kill the install.
Re-LUN so that the original C: is LUN 0 again, and LUN new space to be
able to see it. Boot server normally.
Copy the contents of the old C: to what will be the new C:
Down the server.
Re-LUN new C: to LUN 0
Reboot the server.

Or am I making this too complicated?

Appreciate the feedback!