Infinite Hang at 'Setup is Starting...' on K7N2Delta-L

Problem:
Win2K and WinXPSP1 Setups hang indefinately after boot driver setup process. As soon as driver loading is complete and status on the blue screen switches to 'Starting Windows (2000) Setup' it halts. No CD spinning, no HDD activity.
Other Symptom of Note: The system clock does NOT appear to advance at ALL or at extremely slow/unusual pace. i.e. after time set yesterday, I came back this and it had only advanced 16 minutes. Does not update when viewed in BIOS.
Analyzation Steps Taken:
* Xferred old HDD's with installed and functioning OS's onto new board -
1) Win2K - Goes through 'Loading Windows' process and fails at bar 1 of 'Starting up Windows' - Blue Screen STOP! Error - Unaccessable Boot Device 0x0000007B
2) WinXP - Goes immediately to Blue Screen 'STOP! 0x0000007b (0xF7946640, 0xC0000034, 0,0)
Followed TechNet's resolutions in analyzation steps below - no progress.
* Successfully installed OS's to both HDD's on different machines
* Successfully used all peripherals on different machines (save PNY GeForce52000 AGP vid card - the reason I got the K7 - for ABP8x)
* Was warned that 512DDR333 DIMM may be bad - bought another stick - same issue
* Went to barebones - generic 16x CDR and 1 IDE Maxtor 81GB HDD - same halt
* Used Maxtor boot utilities to Zero format, NTFS for OS (XP and 2000), create ATA133 drivers and diagnostics. All diagnostics passed, Third Party Drivers were loaded in Windows Setup at F6 Prompt - regardless of format, same error.
* Switched AGP card to old RivaTNT2 32 AGP card and disabled 8x support in BIOS
* Reset BIOS/CMOS via jumper and via battery.
Need some help fixing this issue.
Hardware setup:
K7N2 DELTA-L
5.4 AWARD BIOS
AMD Athlon 2400+
Samsung PnP Combo DVD/CD-RW 52x/32x/16x
PNY Verto G-ForceFX 5200AGP 128DDR
Maxtor 81.96 UATA133 HDD IDE x2
PNY PC2100 256DDR333 DIMM x1
(Unknown) PC2700 256DDR333 DIMM x1 (Came as part of combo)

PixelSlinger and others,
Just wondering if you've made any progress on this issue? I'm having the *EXACT SAME PROBLEM* with my new K7N2G-L. Both WinXP and W2K hang during a clean installation. Win98/SE installed fine-- but freezes when I try to upgrade to XP. The XP Hardware compatibility check also hangs.
I've updated to the latest BIOS (3.7) and tried disconnecting everything I possibly can. Removed all peripherals except HDD, CDR and keyboard. Tried installing XP Pro Full, XP Home Upgrade, W2K Full and W98/SE. All but W98 hung at "Setup is starting Windows".
Below are a few things I've read in previous posts that I'm going to try next:
1) Non-ACPI and HAL setup (not sure how this is done).
2) Install from slow CD drive (currently 50x)
3) Remove thermal pad and slop on a bunch of grease instead.
4) Double-check psu (any recommendations to buy?)
5) Use Cable Select settings on HDD/CD not jumpers.
6) Reset CMOS (not sure how this is done either)
7) Disconnect keyboard and mouse during boot.
8 ) Use standard/recommended BIOS settings
9) Try alternate video card (how do I disable on-board vdo)
Have I missed anything? Any suggestions on #1, 4 or 6? I'd appreciate any and all help!! This has really got me stumped.
Thanks!
K7N2G-L BIOS 3.7
Athlon XP 2600+ w/AMD Heat sink and fan
ULTRA 512MB PC2700 DDR 333MHZ
Artec 52x24x52x Internal IDE CDRW
Maxtor DiamondMax 30 GB
PSU Unknown
PS/2 Keyboard and Mouse

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