diff --git a/Source/Core/Common/Common.vcproj b/Source/Core/Common/Common.vcproj
index 149082c6bb..a1021c6aaa 100644
--- a/Source/Core/Common/Common.vcproj
+++ b/Source/Core/Common/Common.vcproj
@@ -1,7 +1,7 @@
 <?xml version="1.0" encoding="Windows-1252"?>
 <VisualStudioProject
 	ProjectType="Visual C++"
-	Version="9,00"
+	Version="9.00"
 	Name="Common"
 	ProjectGUID="{C573CAF7-EE6A-458E-8049-16C0BF34C2E9}"
 	RootNamespace="Common"
@@ -712,6 +712,14 @@
 			RelativePath=".\Src\SConscript"
 			>
 		</File>
+		<File
+			RelativePath=".\Src\SDCardUtil.cpp"
+			>
+		</File>
+		<File
+			RelativePath=".\Src\SDCardUtil.h"
+			>
+		</File>
 		<File
 			RelativePath=".\Src\Setup.h"
 			>
diff --git a/Source/Core/Common/Src/SConscript b/Source/Core/Common/Src/SConscript
index 6b3551d99c..f385d24caf 100644
--- a/Source/Core/Common/Src/SConscript
+++ b/Source/Core/Common/Src/SConscript
@@ -28,6 +28,7 @@ files = [
 	"PluginWiimote.cpp",
 	"PluginVideo.cpp",
 	"PluginPAD.cpp",
+	"SDCardUtil.cpp",
 	"StringUtil.cpp",
 	"Thread.cpp",
 	"Thunk.cpp",
diff --git a/Source/Core/Core/Core.vcproj b/Source/Core/Core/Core.vcproj
index 545c87efa9..bb77e49e96 100644
--- a/Source/Core/Core/Core.vcproj
+++ b/Source/Core/Core/Core.vcproj
@@ -1,7 +1,7 @@
 <?xml version="1.0" encoding="Windows-1252"?>
 <VisualStudioProject
 	ProjectType="Visual C++"
-	Version="9,00"
+	Version="9.00"
 	Name="Core"
 	ProjectGUID="{F0B874CB-4476-4199-9315-8343D05AE684}"
 	RootNamespace="Core"
@@ -2191,22 +2191,6 @@
 				RelativePath=".\Src\IPC_HLE\WiiMote_HID_Attr.h"
 				>
 			</File>
-			<Filter
-				Name="HW"
-				>
-				<Filter
-					Name="SDIO - SD Interface"
-					>
-					<File
-						RelativePath=".\Src\IPC_HLE\HW\SDInterface.cpp"
-						>
-					</File>
-					<File
-						RelativePath=".\Src\IPC_HLE\HW\SDInterface.h"
-						>
-					</File>
-				</Filter>
-			</Filter>
 		</Filter>
 		<File
 			RelativePath=".\Src\ConfigManager.cpp"
diff --git a/Source/Core/Core/Src/IPC_HLE/HW/SDInterface.cpp b/Source/Core/Core/Src/IPC_HLE/HW/SDInterface.cpp
deleted file mode 100644
index 7cc3d8803a..0000000000
--- a/Source/Core/Core/Src/IPC_HLE/HW/SDInterface.cpp
+++ /dev/null
@@ -1,44 +0,0 @@
-// Copyright (C) 2003-2009 Dolphin Project.
-
-// This program is free software: you can redistribute it and/or modify
-// it under the terms of the GNU General Public License as published by
-// the Free Software Foundation, version 2.0.
-
-// This program is distributed in the hope that it will be useful,
-// but WITHOUT ANY WARRANTY; without even the implied warranty of
-// MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the
-// GNU General Public License 2.0 for more details.
-
-// A copy of the GPL 2.0 should have been included with the program.
-// If not, see http://www.gnu.org/licenses/
-
-// Official SVN repository and contact information can be found at
-// http://code.google.com/p/dolphin-emu/
-
-// HW Address: 0d07xxxx
-
-#include "SDInterface.h"
-
-namespace SDInterface 
-{
-
-bool g_bIsCardInserted = false;
-bool g_bIsDumpFile = false;
-std::string sourcePath = "";
-
-bool IsCardInserted()
-{
-	return g_bIsCardInserted;
-}
-
-void SetSourceType(bool isDumpFile)
-{
-	g_bIsDumpFile = isDumpFile;
-}
-
-void SetSourcePath(const std::string path)
-{
-	sourcePath = path;
-}
-}
-
diff --git a/Source/Core/Core/Src/IPC_HLE/HW/SDInterface.h b/Source/Core/Core/Src/IPC_HLE/HW/SDInterface.h
deleted file mode 100644
index 1b910bce8c..0000000000
--- a/Source/Core/Core/Src/IPC_HLE/HW/SDInterface.h
+++ /dev/null
@@ -1,32 +0,0 @@
-// Copyright (C) 2003-2009 Dolphin Project.
-
-// This program is free software: you can redistribute it and/or modify
-// it under the terms of the GNU General Public License as published by
-// the Free Software Foundation, version 2.0.
-
-// This program is distributed in the hope that it will be useful,
-// but WITHOUT ANY WARRANTY; without even the implied warranty of
-// MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the
-// GNU General Public License 2.0 for more details.
-
-// A copy of the GPL 2.0 should have been included with the program.
-// If not, see http://www.gnu.org/licenses/
-
-// Official SVN repository and contact information can be found at
-// http://code.google.com/p/dolphin-emu/
-
-#ifndef _SDINTERFACE_H
-#define _SDINTERFACE_H
-
-#include "Common.h"
-#include <string>
-
-namespace SDInterface
-{
-	bool IsCardInserted();
-	void SetSourceType(bool isDumpFile);
-	void SetSourcePath(const std::string path);
-}
-
-#endif
-
diff --git a/Source/Core/Core/Src/IPC_HLE/WII_IPC_HLE_Device_sdio_slot0.cpp b/Source/Core/Core/Src/IPC_HLE/WII_IPC_HLE_Device_sdio_slot0.cpp
index 10f7876e3e..4bf6cc2513 100644
--- a/Source/Core/Core/Src/IPC_HLE/WII_IPC_HLE_Device_sdio_slot0.cpp
+++ b/Source/Core/Core/Src/IPC_HLE/WII_IPC_HLE_Device_sdio_slot0.cpp
@@ -17,15 +17,14 @@
 
 #include "Common.h"
 
+#include "SDCardUtil.h"
+
 #include "WII_IPC_HLE_Device_sdio_slot0.h"
 
 #include "../HW/CPU.h"
 #include "../HW/Memmap.h"
-#include "HW/SDInterface.h"
 #include "../Core.h"
 
-using namespace SDInterface;
-
 CWII_IPC_HLE_Device_sdio_slot0::CWII_IPC_HLE_Device_sdio_slot0(u32 _DeviceID, const std::string& _rDeviceName)
     : IWII_IPC_HLE_Device(_DeviceID, _rDeviceName)
 {
@@ -46,9 +45,21 @@ bool CWII_IPC_HLE_Device_sdio_slot0::Open(u32 _CommandAddress, u32 _Mode)
 {
 	INFO_LOG(WII_IPC_SD, "Open");
 
-	m_Card = fopen("sd.raw", "r+b");
+	char filename[16] = "sd.raw";
+	m_Card = fopen(filename, "r+b");
 	if(!m_Card)
-		ERROR_LOG(WII_IPC_SD, "Failed to open SD Card image");
+	{
+		WARN_LOG(WII_IPC_SD, "Failed to open SD Card image, trying to create a new 128MB image...");
+		if (SDCardCreate(128, filename))
+		{
+			WARN_LOG(WII_IPC_SD, "Successfully created %s", filename);
+			m_Card = fopen(filename, "r+b");
+		}
+		if(!m_Card)
+		{
+			ERROR_LOG(WII_IPC_SD, "Could not open SD Card image or create a new one, are you running from a read-only directory?");
+		}
+	}
 
     Memory::Write_U32(GetDeviceID(), _CommandAddress + 0x4);
     return true;
@@ -58,7 +69,8 @@ bool CWII_IPC_HLE_Device_sdio_slot0::Close(u32 _CommandAddress)
 {
 	INFO_LOG(WII_IPC_SD, "Close");
 
-	fclose(m_Card);
+	if(m_Card)
+		fclose(m_Card);
 
     Memory::Write_U32(0, _CommandAddress + 0x4);
     return true;
diff --git a/Source/Core/Core/Src/IPC_HLE/WII_IPC_HLE_Device_sdio_slot0.h b/Source/Core/Core/Src/IPC_HLE/WII_IPC_HLE_Device_sdio_slot0.h
index bceb55fe81..01bcd6a92b 100644
--- a/Source/Core/Core/Src/IPC_HLE/WII_IPC_HLE_Device_sdio_slot0.h
+++ b/Source/Core/Core/Src/IPC_HLE/WII_IPC_HLE_Device_sdio_slot0.h
@@ -15,7 +15,7 @@
 // Official SVN repository and contact information can be found at
 // http://code.google.com/p/dolphin-emu/
 
-// PRELIMINARY - doesn't work yet
+// PRELIMINARY - seems to fully work with libogc, writing has yet to be tested
 
 #ifndef _WII_IPC_HLE_DEVICE_SDIO_SLOT0_H_
 #define _WII_IPC_HLE_DEVICE_SDIO_SLOT0_H_
diff --git a/Source/Core/Core/Src/SConscript b/Source/Core/Core/Src/SConscript
index cd894f7b6d..2011b8cb26 100644
--- a/Source/Core/Core/Src/SConscript
+++ b/Source/Core/Core/Src/SConscript
@@ -59,7 +59,6 @@ files = ["ActionReplay.cpp",
          "HW/VideoInterface.cpp",
          "HW/WII_IOB.cpp",
          "HW/WII_IPC.cpp",
-         "IPC_HLE/HW/SDInterface.cpp",
          "IPC_HLE/WII_IPC_HLE.cpp",
          "IPC_HLE/WII_IPC_HLE_Device_DI.cpp",
          "IPC_HLE/WII_IPC_HLE_Device_FileIO.cpp",