It looks like you need to install drivers for your hard drive for windows setup to see your hard drive.
presume yur installing onto a SATA drive.
when windows setup starts yo'll see a message at the bottom saying " Press F6 to install 3r pty drivers" or something very similar. you need to create a floppy containing the SATA driver, if you look at your motherboard manual it will tell you how to create this floppy disk, you'll need the drivers cd that came with the motherboard and access to another pc to be able to create the floppy. if you don't have the driver d that came with the motherboard then you can go to the motherboard manufactures website and look for the drivers there, you'll probably need the other drivers for Windows XP listed there as well once the install has finished to be able to install the motherboard chpset drivers etc.