Here is how I think it will work.
At the 1001 site, we would retrieve data via Direct SAN using fiber channel using a FC connected physical proxy.
That physical proxy would send the data it collects out via Ethernet, to the DR side proxy.
Once that DR side proxy has that data, it sends it back out Ethernet into the VMware environment.
Once it's within the VMware environment it would travel over FC as that's the only way VMware can reach the SAN storage.
Does that sound right?