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You can run Slackware 13.0 on this machine, but forget about X or any DE/WM.
I have a box running Slackware 13.0 with a slower processor and it's running fine, doing a lot more than downloading torrents.
It has more memory, but only uses 200MB (and that is with Squid, MySQL, httpd, DansGuardian, and some other stuff).
Running "idle", with only standard Slackware 13.0 (this includes sshd), it uses about 35MB, so enough left to load a torrent program.
I suggest taking a look at rtorrent, which is completely text based, no GUI needed.
You can start it withing a screen session, so that you can "connect" to it from other boxes.