Thank you both. I was able to do it with your advice
The file was 0x752C big (29,996 bytes).
Since there is 0x800 bytes worth of "file data" in each CD sector, each sector will end at even intervals ie 0x800, 0x1000, 0x1800, 0x2000, 0x2800 and so on. So if I'm thinking right, the file's last sector should end at 0x7800 which leaves some unallocated space at the files end:
0x7800
- 0x752c
-----------
0x2d4 (724 bytes of unallocated space - that's a lot of room for text!)
I found the 2 copies of the file size right above the file name in a hex editor. And it worked well to edit them to the new file size (0x7800).
It's worth noting that the Playstation routine that loads data from the CD into RAM ignores the file boundaries anyways. Like you say pablogm123, the load sizes and start-sector are written into the game's programming. The load routine uses with 3 variables.
1. Destination in RAM
2. Location of source data on CD (LBA value)
3. Number of bytes to load
Those values are usually stored in a table in the game's exe. So changing the file size really has nothing to do with making the game load more data. All this edit will do is let CDMage inject/extract data into that wasted space at the end of the last sector. I'll edit the game exe separately to get it to load the new-larger file!
Thanks again, BIG help
