Transferring the web application should not be an issue. JBoss uses an embedded Tomcat (by default) or an embedded Jetty servlet container. You will probably need to increase the environment space as well. I'm a bit hazy on this as it was a while back I had JBoss running on 98.
You should check that Java and JBoss are not installed in a path that contains a space. That might be part of the problem, I guess.