-snip
Wait, what? No no no no no no... you got this all wrong!
Lemme give you a quick tutorial.
1. Clear off your SD card of all other files. Make a backup, if you so desire.
2. Download the latest version of Project M and extract the contents to the root of your SD card
3. If you want to change something, go to SD root>projectm>pf and change it from there.
(shameless plug) If you want, you could also use my hack of Project M called Project M DIY. It has the directory you were going for, so I thought I might throw that out there.