You'll need to preformat the Windows 7 partition using a 3rd party partitioning manager like Free Partition Wizard CD.
Then try running the Windows 7 installer from the XP desktop, directing the Custom install to the 2nd partition.
This may solve the driver problem. If not, locate the SATA contoller driver for your model and put it in the Windows 7 installer on the link at bottom left of the Custom drive maps screen.