Alright - cold battled and defeated, now I can think again. Chapter 3 is still coming along, so don't worry about updates. I have had to re-write sections as it wasn't working the way it was going.
My outlines are very simple - "This happens in this chapter". So I know what I want to do, just getting from point A (end of previous chapter) to point B (end of this chapter) is what sometimes drives me batty.