Insert your Windows XP installation disc into your CD/DVD drive and open nLite.
Then Click Next.
#Click Browse to locate your CD/DVD drive that has your Windows XP installation Disc.
Locate your CD/DVD drive and Click OK.
It should automatically detect the i386 folder.
Click next and ignore presets.Click next which takes you to task selection screen
Click on DRIVERS and BOOTABLE ISO option
Click next and insert this additional driver
you need to download this driver
After inserting this ,click next ,remove your xp cd and insert a blank cd,click next which would start the process of making a bootable cd.
Try to use this CD to install XP