I believe so. I looked it up, and this is the ruling.
"Horus the Black Flame Dragon LV6" is unaffected by Spell effects, so while it is equipped with "Overdone Burial", it is unaffected by the effect that negates the equipped monster's effects. Therefore, the effects of "Horus the Black Flame Dragon LV6" are not negated
This by right just a general card that Jack uses was never intended to support Archfiend play style anyway. Just for storyline purpose. You'll understand if you watch the series.
In fact, there are many card with Archfiend name that doesn't really support Archfiend playstyle. This is due to the word "Daemon" in Japanese which is very common, and will translated in to "Archfiend" in English
"Hunders" are meant to be run with Xyz in the first place, in Zexal manga where they appear, they are used as quick materials to summon "No. 91 Thunder Spark Dragon".
The way I see this card can be usefull is by the skill the tie that binds. Basically Increaz Kizan atk by 100 to summon Kiaru from the deck. Or Enishi to summon Kizan. As for Kageki, I tried using him before but he needs genba not fuma.
If by the time you use this card, the Xyz monster have 2 materials, it gains 600 ATK. Regardless whether you use/remove its overlay material afterwards for any means.
But of course, by that turn's end phase, the ATK boost is gone.
If I try to make them work, I'm gonna try it in Malicevorous. Never cared about reaching KoG so I'll just be finding the right ratios for when we get Number 96.
Good. Just this one challenge was a problem because of how extremely overpowered the opponent's deck was. He difficulty mogs all those Yugi God decks and all those special Dark Signer challenges together.