First thing to try is to specify your RAID drivers when creating bootable USB.
As a workaround you can also try installing full version of the software in your Parted Magic USB environment and retry operation. Can't guarantee that this'll work but work, but worth a try.

Matt, I am restoring to the same hardware. Shouldn't the boot USB build copy all the necessary drivers? I am trying to restore Server 2008R2 if that matters.

I browsed through the \sources\boot.wim on the USB and its seems that the percsas2 driver appears to be missing. I'm guessing that this is the problem.

Matt, I created a new USB ISO and added PERCSAS2 from C:\Windows\System32\DriverStore\FileRepository in the "Path to Drivers" field. Now the PERCSAS2 drivers appear in boot.wim . I will not be able to try the restore for a few days. So I won't know if that solves the problem until then.

I could see having to do this if I was restoring to dissimilar hardware.

Adding PERCSAS2 has gotten me a step further. I can now see the RAID volumes in DISKPART. However, when I start the restore wizard, I get a message saying "Sychronization is in Progress. Please Wait." I have let this run for up to 10 minutes, but it never seems to complete. ANY THOUGHTS?

The software rebuilds local repository during this process. The speed depends on the amount of data in the cloud.
Try switching storage account to "restore-only" mode by editing storage account and under advanced setting selecting "restore only" instead of regular mode.

The whole idea of doing a bare metal restore from the cloud seems strange to me. In this case I had file and folder backups in the cloud and an image on local storage. I wanted to restore from a local backup. It does not seem that syncing to the cloud makes any sense unless you indicate that you want to restore from the cloud. It is just wasted time. Also, why not default to restore only for all backup locations. What is the use-case for doing anything other than a bare metal restore with a Boot USB?

In this case, I was attempting to restore to a new boot volume so this was not an emergency. I just thought it would be a good chance to test the process. I'm glad I did since there seem to be some problems that I would not want to discover during a real emergency restore. I gave up and used another tool to image the drive.

In 99% of the cases it takes about 5-10 seconds to list the data once you launch it on USB in regular mode since we only list image-based backups. In case you want to troubleshoot this further we'd need the logs sent to us from bootable USB so we can check why data is not being listed.

Unfortunately, it does not appear that any logs were created so I guess I had to explicitly ask for them during the process. I will attempt to recreate the problem next time I visit the location.