Came across this tutorial when I was looking for a mod for my almost dead 5th gen. I own a Cowon J3 but I wanted something on the side. The end result is a 16GB 2nd gen ipod mini (Flash based) that plays FLAC :P

The parts you'll need are mentioned here:

Parts n Pics: http://www.erodov.com/forums/my-el-cheapo-16g...35574.html

Original Tutorial: http://geektechnique.org/projectlab/759/the-i...-with-16gb