There are a couple of programs you can use to create a virtual drive,
format it as a FAT drive, and install DR to that. Go to
http://www.acc.umu.se/~bosse/
and download filedisk and mksparse.
Instructions on use are included in the downloads. Once you get it
set up, just install DR to the virtual drive like you normally would.
A problem I have noticed with this method is that the virtual drive
doesn't seem to mount unless you are an Administrator.