Hopefully this will make it into the guide and have diagrams, but until then...

1. Create a new project, "File" > "New Project"

2. Template for project should be "Other" > "External Build System" and save the project

3. Under "Targets" in the left hand "Groups & Files" window in the main xcode editing window double click "Your Projects Name Goes Here"

4. Remove all the "Build Settings", dont know what they did but removing them didnt hurt

5. In "Build Tool" enter the path to either the "simulator" link or the "Corona Terminal" app
just so you know, if you put the Corona folder in your Applications folder the the paths are as follows
"/Applications/Corona/Corona Terminal" or "/Applications/Corona/simulator" ...either one will work

6. Under "Arguments" enter "$(PROJECT_DIR)", this passes the location of the folder, what Corona looks for, to the simulator so it launches and builds the app without asking for the location of the project folder

7. Right click on the top of the main xcode window, the toolbar, and select "Customize Toolbar" and add the "Build" icon to the bar and click "Done"

8. Clicking the "Build" icon will now launch your application in Corona

Enjoy!

Thanks for this wonderful pice of information how ever, with regard to point 6, 7 i couldn't allocate them.?

Where is the build Tool? and what is the Argument section? where can i find it?

Thanks it works. However, how can i keep my files on XCode instead of BBEdit and work from Xcode (Development and Building)

Thanks