First, instead of using GDAL 1.6.0 from December 2008, why not use GDAL 1.7.2
from April 2010?
Second, since your objective is to create a tiled GeoTIFF, you can do that with
one gdal_translate command.
$ gdal_translate --version
GDAL 1.7.2, released 2010/04/23
$ gdal_translate -of GTiff -ot Byte
I'm trying to produce a tile matrix set from geocoded tiffs using gdal2tiles.py
but I am having trouble with the last step in the process.
As an example I have a BSB file from NOAA which is a navigational map of Lake
Pend Oreille in Idaho. The map has a SRS of WGS84 and a Mercator projection.
