Hi Richard,
Imho the dunes are not as nice as Chebbi by quite a long way, but the area itself has no development (people trip out from Zagora and Mhamid on landy day trips or by camel) so it's quite a nice place to hang out for a few days (if you have plenty of days (as is lake Iriqui).
A few pages of photos of the piste from Foum Zguid to Mhamid at:
http://www.roamingyak.org/morocco/di...id_mhamid.html
which includes some of the start of the dunes and those ending in Lake Iriqui.
I camped up for a total of 7 days and was visited once by a bloke looking for his camels, and once by a group of ladies who stopped for some oranges on the way to the local italian charity school. So not Merzouga at all.
On the main piste from Foum Zguid to Mahimd (as per SO) there is a turning for the dunes by the big white sign that says "please keep to established tracks etc etc)
(I filmed the piste for my upcoming dvd - out in about 3-4 weeks - has a bit on the dunes etc)
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