Thanks. I re-downloaded the sources file and now uncompress works.
Randal L. Schwartz wrote:

"LordGeoffrey" == LordGeoffrey  <lordgeoffrey@optusnet.com.au> writes:


LordGeoffrey> I tried gunzipping the sources but apparently its not a zip file.
LordGeoffrey> I am unix (Ubuntu). Any suggestions?

It's a gzip file, not a zip file, and yes, you need to uncompress it.

Ideally, your .image and .changes file are named the same, and in
same directory (folder), and your VM and .sources file are in
the same directory as each other, which may or may not be the same
as the .image and .changes file.