Installing OS on new drive but selling Mac?

Hi there
I’ve just upgraded to a new 27" iMac and I’m going to sell the old one (spec below). I need to replace the hard drive because its faulty and want to sell the Mac with Mountain Lion installed.
So firstly, I don’t think the new drive is formatted in anyway (WD 1TB Caviar Blue). So after I install the new drive will disk-utility from an old Snow Leopard disk see the drive in order for me to format it, ready for the OS install?
And secondly, If I then install Mountain Lion and delete myself as the main user and create a new Admin user, will future owners of the Mac be able to update and upgrade the OS without my details?
Thank you in advance.

You can't do that because it will always be associated with your Apple ID.
The proper way to "clean" a computer before selling it is to zero the hard drive. This will make all your data irretrievable.
Steps for zeroing the drive Disk Utility:
1. Insert your Mac OS X CD-ROM disc or Restore DVD disc, then restart the computer while holding the C key until you see the spinning gear.
2. Once started up from CD or DVD, choose Disk Utility from the Installer menu.
Important: Do not click Continue in the first screen of the Installer. If you do, you must restart from disc to access Disk Utility.
3. Choose the entire disk (top icon).
4. Choose erase tab.
5. Click on Options
6. Choose "write zeros".
7. Erase
This will take a bit of time because the computer is physically writing zeros to each block.
You should then re-install the original OS from the system disks and deliver the Mac to the new owner with the system disks that shipped with it.
If you want it to boot as new at startup, do the installation of OS X and follow the onscreen prompts until it asks you to enter a username and password to create your first account. Quit the installer and shut down the system. The next time the system is powered on it will display the same welcome message and be ready to setup OS X.

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