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How To Boot An ISO With GRUB2 (The Easy Way!) ~ Web Upd8: Ubuntu / Linux blog
www.webupd8.org/2011/02/how-to-boot-iso-with-grub2-easy-way.html, posted 2011 by peter in howto linux storage
If you want to try out a new Linux distro, be it the latest Ubuntu 11.04 Natty Narwhal daily ISO or any other (I've only tested it with Ubuntu though!) and don't want to burn a CD each time you want to try a new daily build (and you don't have an USB memory stick around), you can use a cool GRUB 2 feature that lets you boot a live CD ISO directly from your hard disk. You can also use this method to boot varous utilities such as Super Grub Disk, SystemRescueCD, Parted Magic and so on.