The quickest method would be to buy a floppy disk drive. You can install via network method but you need to create a boot floppy disk.
If the PC is capable of booting from USB you might be able to create bootable flash disk from the boot floppy image and if you have a flash disk.
If the network card is PXE capable you could setup a LTSP and remote boot the old PC.
http://www.kegel.com/linux/pxe.html
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3.Which distro will be suitable as a primary distro. (i do not have problem if
there is no GUI am comfortable with CLI)
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Is this the old or new PC?