Hi enliteneer,
By regular byteblaster, do you mean the ByteBlasterMV? If that is what you have, you can probably get away with just using it. You should be able to JTAG cores (.sof files) and software onto the board with that cable. The only thing you won't be able to do is download cores directly to the active serial configuration device (.pof files). This means that every time you reset/power off the board, you'll have to redownload your core. (One of our software developers here is still using a ByteBlasterMV without trouble)
Everything you need for building uclinux can be downloaded for free. Quartus II Web Edition and the NiosII Evaluation from Altera; Nios II Linux from this board (in the Linux 2.6 Distribution for Nios II forum). The toolchain is a part of the NiosII distribution.
Dennis Scott
Microtronix Datacom Ltd.