Prompt [Q] [Generic Device] Howto upgrade OS inside the img file

Recently i was given an android device by a friend.. once i got to looking around at it, it appears to be some generic device from china.
After searching for days, i found the maker as fugetek. I emailed them asking for a release date on OS upgrade (from 4.1.1 -> kitkat) and was informed that " Updates are needed, and won't be made. "

Emailed them again asking for the source / project files they used to build the android OS for this device so i could update it myself...
Here is what they sent me:

(image attached)

As you can see.. these are hardly project files / source files, but rather a flashing tool, a set of " how to " doc's for flashing the device, and a compiled *.img

My Question:

1) Is it possible to extract / mount the img file, and manually upgrade the OS to kitkat witout losing any hardware functionality
2) If it is indeed possible to upgrade the android OS version using the img file as src, does anyone know of a step-by-step guide / tutorial on how this is done.

[EDIT] UPDATE: Seems the PheonixUSBPro flashing utility links to an " Alwinner " PDF when you click help..
I am assuming this is pretty much the same image being passed around by the chinese for their generic 7" Android Devices

From what i'm reading.. this is going to a fun, and somewhat convoluted project

Device Details:

Manufacturer: Fugitek Technologies / Lonestar Group:

Model: OCOCCI_MID

Android: 4.1.1
Baseband: jellybean
Kernel Version:
308+
xuyong@pfd-desktop #206
Mon Nov 4 14:17:42 CST 2013

Build Number:
nuclear_pfdq88d-eng 4.2.2 JRO03C 20130913 test-keys


Any help would be most appreciated
If anyone requires the " source " zip they sent me, let me know, and i'll upload it somewhere for you.
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