On second thoughts a secto-to-sector copy of a partition to a larger partition is unlikely to work with a FAT-based filesystem - the File Allocation Table is going to be the wrong size. So you need to make the filesystem first. (Format, in DOS-speak). Then when it comes to copying files I would not trust M$ not to have "optimised" something somewhere so that it expects to find exactly as they were, so I'd only be happy if the short and long filenames and all other attributes were preserved.
FWIW,
www.acronis.com is yet another option for disk management tools.