I have just set up a new solution / project to test this out (using the latest azure sdk as of 10/9/2012). I started with Cassette to try to minify, compress, and combine my css and script files. When running locally I get a 500 error when trying to access my page. Oddly I can not get more information even if turning off custom errors, turning on debug etc. I then uninstalled Cassette and tried Combres (someone said they had made it work with Azure). Same error. Just for kicks I changed my startup project to the web role only and low and behold the page loads just fine.
What setting am I missing to make this working web site work under Azure?
Edit: The page loads correctly (locally running on Azure emulator) when I remove any of the packages that would provide minfying/combining capabilities.