The typical installer gives you several partitioning choices, including, eg:
Use existing
Erase disk and create new
manual
and some others maybe....
If you want to keep XP, then the first question is whether you have empty (unpartitioned) space on either drive. The manual partitioning option should show you that.
If you do not have empty space, you will need to re-size the Windows partition (or simply re-install Windows). For re-sizing, i would recommend GParted, which is a stand-alone bootable CD (download the .iso and burn the CD)
Side note: That 10GB drive might be quite old. You might want to consider retiring it (before it fails at some inopportune moment)
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