You probably can't do it on an iPhone with the basic system, but I'm sure there are unarchiving apps that can be acquired.

Also, as noted, the original password was incorrect, the new password can be found in Update #62.

Finally, we've been seeing people with Mac OSX 10.6.8 being unable to open it even with the right password. The following workaround works:
1.) Open Terminal.
2.) Type "unzip " without the quotes but WITH the space after.
3.) Drag the zip file into the Terminal window.
4.) Hit Return.