You likely don't need SATA controller drivers if XP CD sees any partitions.
I would try deleting the XP partition in Disk Mgmt then creating it using XP installer NTFS, full format.
If this fails, create NTFS Primary partition using Partition Wizard bootable CD, then rightclick>Modify>Set to Active to try XP install.
If it fails again, you can use the PW CD to rightclick System Reserved partition to Modify>Set to Active which will remove active flag from XP partition.