Installing XP or 2K with large 80 GB partitions

Ive just started building my new PC. I had to wait for my rma'd power supply to get here cause it was DOA. My system is as follows:

Northwood 1.6a
Abit Th7II-Raid
2x80GB WD800JB w/ 8 meg cache

When I boot to my XP disk is tells me NTDLR is missing. The KB has an article that talks about upgrading from 95 or 98 but im trying to install fresh on 2 brand new drives. Ive got the drives in the onboard RAID IDE slots and the RAID BIOS is set to RAID 0. This would equal 160 GB more than the 137 GB problem I think I have heard about before.

Does this sound like a BIOS problem?
Does it stem from the 2 80GB drives on RAID creating a 160 GB partition?
How can I install XP with my setup. I have already flashed the BIOS with the release from abit's website.