Just a suggestion, you might have reasons these don't apply.
- Change PC hardware (if you only have two drive bays suggest fitting only one drive at this stage for the system drive)
- Boot to BIOS, check for POST errors and reset to default or refresh BIOS config (just want to be sure the BIOS has detected the new hardware)
- Cold boot PC to BIOS again and check for POST errors and config is ok.
- If ok insert Win7 media, reboot and build Win 7
- Suggest not partioning disk into more than one drive unless you have a specific reason
- Once Win7 set-up start the process of copying the data across. The only way I can think of is to fit the failed drive into a empty drive bay and add it as a data disk (have done this but can't remember off top of head). Once the data is across ok, remove the failed disk and add one of your new ones.