Have you tried reading the manpage for mkbootdisk? I'd imagine that there would be some options listed there for your particular situation.

Since none of us know your exact setup, it'd be kind of tough to know what options you would need.

You can make a LILO boot floppy without using mkbootdisk

http://tldp.org/HOWTO/LILO.html

but if you're using grub...no good. The kernelargs option is looking for grub and using grubby as a default and it is looking in /boot partition. Make sure your path is correct and that your kernel is the right one you're looking for.

You might use -v or --verbose option to see what it is doing while it is doing it. Also, be sure to grab your kernel version from /lib/modules (should be a directory...something like 2.6.3 or whatever). From there it is:

mtbootdisk -v 2.6.3-4 (or whatever)

Good luck.