Update.
So far we've replaced the video card because some of the pins on the DVI
connector were smashed .
Problem now may be trying to find the right combination of video drivers
for the X1300 and WINXP SP2.
There's another guy with the SAME hardware, WINXP sp and ATI drivers
configuration as
Duncan in XP it is called Enable Boot Logging and it is in the list when
you hit the F8 key. It will log every step thru all the boot process and see
exactly where is stops or hangs up. After you can find the log file in the
Windows folder called ntbtlog.txt.
You can see that there are quite a few