I have now tried to install Puppy 2.13 'Star' to my Kingston Data Traveler 2.0 USB Flash Drive/USB stick. My BIOS allows USB-ZIP to boot and I have 6 USB ports. I tried umpteen million combinations before I discovered that I must not leave the USB stick in a port at reboot. Instead, I must physically insert the USB stick during the BIOS's POST. This way I can boot from the USB stick. So that part is now solved.
However, when Puppy boots from USB I get the same error:
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Loading kernel modules done
Looking for Puppy in sda1 done
Loading swap partition /dev/hdb5 done
ERROR, cannot find Puppy on 'usbflash' boot media.
PUPMODE=1 PDEV1=
Exited to initial-ramdisk (/dev/ram0) commandline...
vmlinuz
initrd.gz
pup_213.sfs
zdrv_213.sfs
syslinux.cfg
ldlinux.sys
usbflash
My syslinux.cfg file consists of one line:
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default vmlinuz root=/dev/ram0 initrd=initrd.gz PMEDIA=usbflash