Still digging away here, and confused by what I see as a conflict regarding the physical layout of the ethernet shield and the documentation when used with the Mega.
The physical layout (http://shieldlist.org/arduino/ethernet-v5 for example) clearly shows the range of connectivity, when combined with a mega (http://www.onemansanthology.com/images/arduino/Arduino-Mega-2560-with-ethernet-shield-1024.JPG). It's clear that the high end IO pins are not connected.
The documentation however states that when combined with a Mega that the ethernet shield uses different IO pins for communication (http://arduino.cc/en/Main/ArduinoEthernetShield
"Arduino communicates with both the W5100 and SD card using the SPI bus (through the ICSP header). This is on digital pins 10, 11, 12, and 13 on the Uno and pins 50, 51, and 52 on the Mega. On both boards, pin 10 is used to select the W5100 and pin 4 for the SD card"
How does the shield/mega combo achieve this? or is it simply a documentation flaw? and is it potentially the reason for the hanging I'm experiencing due to misconfiguration.?
I'll play around tonight with the mega stated io pins to see if it works.